Covered CA 1095-A

[nikki1104]

I had Covered California for several years with income between $20k-$25k from 2021-2022. On 1/9/23 I started a new job making ~ $69k and enrolled in health insurance through my employer (I have box DD on my W-2).

I delayed cancelling my Covered California coverage until August 2023. I just received my 1095-A and Turbo Tax is showing I owe $2,400 from advance tax credits as I did not qualify for Covered CA with my new income.

I did not report an income change to Covered CA, however I did not go to the doctor at all in 2023 so I was not using the coverage.

I was hoping that having the 1095-B or 1095-C from my new coverage would help, but I read that those forms don’t get input to TurboTax at all and it’s just the box DD on W-2 that indicates coverage.

What are the odds I can get Covered CA to retroactively cancel my coverage for 2023 (aside from January, as I still needed the coverage that month as I started my new job mid-month) by proving I had other coverage and did not use the Covered CA coverage.

Any advice appreciated!

 

[foreverthankful]

@nikki1104 You not using the coverage doesn't matter- you did not cancel the coverage and you had it available IF you had needed it.

Covered CA is not going to retro terminate your coverage back to 2023 if you failed to terminate your coverage and/or update your income. You're going to owe that back in taxes.

 

[erin30ga]

@nikki1104 Unfortunately probably not very good but you can always try.

Lots of people don't use their insurance at all for many months but the coverage still exists.

Covered California has no way of knowing why you wanted two insurance policies. Some employer insurance is bad and so people deliberately choose to get a second policy that is more suited to their needs - for example.

Is there some reason you didn't cancel? Weren't you paying some amount - even if minimal - each month for the premium?

 

[amusingmargaret]

@nikki1104 It really does not matter that you did not use your health insurance during the months that you had dual coverage. When you signed up for covered ca, you agreed to update them with any changes to your household including income. These updates are supposed to be reported within 30 business days of them occurring. Additionally, covered ca may explore a termination date change with you, but they will look for a record in their call history to check if u called prior to receiving your new coverage to cancel. Additionally, they may offer to have you talk to your insurance company to see if they have a record of you attempting to cancel coverage in months prior. Without either of these call records supporting you, it is unlikely they will change your termination date. They usually grant this request under unusual circumstances such as the death of a covered member or a natural disaster or if you can prove someone who works for one of the companies involved made a valid and provable error in regards to your health insurance coverage.

 

[lovefirst]

@nikki1104 Hi. Dont know if you’ve resolved this issue but this happened to me last year and from my experience, I can tell you there’s nothing really you can do. We even went to our local IRS and they said the same thing. Ended up owing a shit ton of money because my wife and I were both covered and when we went back to work, we kept it because we thought one would take over for the other but that wasn’t the case. We cancelled it immediately but lesson learned.