Open Enrollment for 2022 – What You Need to Know

“Open Enrollment is coming!” – A phrase you’ve most likely heard at least a few times recently.
 
The federal Open Enrollment Period (OEP) happens once a year for individual health plans in the ACA marketplace. For most states, you have from Nov. 1, 2021, to Jan. 15, 2022, to choose a health plan for 2022 and get signed up. In order to get coverage starting Jan. 1, 2022, you would need to be enrolled by Dec. 15, 2021.

Having health insurance is one of the most important steps you can take to protect yourself and your loved ones. It is important to note that this is one of the few times a year you can:

• Enroll in benefits for the first time; or
• Make changes to your current health insurance benefits

 
Why does Open Enrollment exist? Well, if it didn’t exist, when would you sign up for a health insurance? Most likely when you got sick or injured, right?
 
The open enrollment period was put into place to discourage adverse selection – which happens when sick people sign up for health insurance and healthy people don’t. It greatly skews the amount of risk a health plan takes when insuring members.
 
Keep in mind unless you experience a qualifying life event, you will have to enroll for health coverage during the open enrollment period. A qualifying life event includes:

If you missed the 2021 Open Enrollment Period in your state (or you’re reading this blog after Jan. 15, 2022, and missed the 2022 OEP) and you have not had a qualifying event, you can apply for a short-term health insurance plan. Short-term health insurance is coverage that can be purchased outside of OEP. Coverage is available for up to 364 days, and you can reapply for short-term coverage for up to 36 months in most states.
 
Health insurance decisions can have a significant financial impact, so it’s important to weigh your options carefully. Even if you’re not expecting to make changes to your current plan, it’s good to make a habit of reviewing your plan each year anyway to make sure it still meets your needs.

Open enrollment windows don’t stay open long. Make sure to give it some thought and get signed up as soon as possible. You don’t want to find yourself without coverage when you need it the most.

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Allied National

Founded in 1970, Allied is one of the nation's oldest and most experienced third-party administrators. Allied National is a 90 Degree Benefits Company, a subsidiary of Blue Cross Blue Shield of Alabama. As the small group benefit experts, Allied works with small business employers to provide unique and affordable group health benefits.