What Is the Individual Mandate?

Pam Urich, Senior Vice President, Benefits Service Manager, Univest Insurance, Inc.

Pam Urich Beginning in 2014, the Affordable Care Act includes a mandate for most individuals to have health insurance or potentially pay a penalty for noncompliance. Individuals will be required to maintain minimum essential coverage for themselves and their dependents. Some individuals may be exempt, while others may be given financial assistance to help them pay for the cost of health insurance.

What Is Minimum Essential Coverage?

Minimum essential coverage is defined as:

  • Coverage under certain government-sponsored plans
  • Employer-sponsored plans
  • Plans in the individual market
  • Grandfathered health plans
  • Any other health benefits coverage, such as state health benefits risk pool, as recognized by the Health and Human Services Secretary.

What Is the Penalty for Noncompliance?

Income is defined as total income in excess of the filing threshold ($10,000 for an individual and $20,000 for a family in 2013).

Who Will Be Exempt from the Mandate?

Individuals who have a religious exemption, those not lawfully present in the United States and incarcerated individuals are exempt from the minimum essential coverage requirement.

Are There Other Exceptions to When the Penalty May Apply?

Yes, a penalty will not be assessed on individuals who:

Univest Insurance is available to answer your questions and can help individuals and businesses obtain the necessary coverage. Contact us at 800-220-3077 or insurance@univest.net.

Insurance products offered through Univest Insurance, Inc., a licensed insurance agency affiliate of Univest Corporation, are obligations of and underwritten by unaffiliated insurance companies. They are not insured by the FDIC or any other agency of the United States and are not deposits of or guaranteed by any bank. The purchase of insurance is not a condition of any banking product or service and will not affect credit decisions.


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