Covered California expansion.

Plain English Breakdown

The candidate explanation incorrectly stated that the program would start immediately upon introduction and not contingent on funding from the state legislature.

Expanding Health Insurance Coverage in California

This legislation changes how Covered California operates, removing a requirement and allowing more people who are not citizens or legal residents to get health insurance coverage starting from January 1, 2027, if funded by the state legislature.

What This Bill Does

• Removes the requirement for Covered California to apply for a federal waiver to allow certain immigrants to buy health insurance.
• Requires Covered California to start a program no sooner than January 1, 2027, that allows people who are not citizens or legal residents to get health insurance coverage if funded by the state legislature.
• Directs Covered California to do outreach and marketing efforts starting October 1, 2028, to help more people sign up for this new program.
• Requires Covered California to work with stakeholders like the Legislature and the public each year to design and improve the health insurance program.
• Creates a special fund called 'Covered California for All Fund' in the state's budget to pay for running this expanded health insurance program.

Who It Names or Affects

• People who are not citizens or legal residents of the United States but live in California and want health insurance coverage.
• The Covered California organization, which will manage the new program.
• California taxpayers, as they may need to fund this expansion through their taxes.

Terms To Know

Covered California

A state-run marketplace where people can buy health insurance plans.

Immigration status

The legal standing of a person in the country, such as being a citizen, resident, or undocumented immigrant.

Limits and Unknowns

• The exact details and costs of the new program will be determined each year by Covered California.
• This bill needs funding from the state legislature to start the expanded health insurance program.
• Federal laws still apply, so Covered California must follow federal guidance when creating this new program.

Official Summary Text

AB 4, as introduced, Arambula.
Covered California expansion.
Existing federal law, the Patient Protection and Affordable Care Act (PPACA), requires each state to establish an American Health Benefit Exchange to facilitate the purchase of qualified health benefit plans by qualified individuals and qualified small employers. Existing state law creates the California Health Benefit Exchange, also known as Covered California, to facilitate the enrollment of qualified individuals and qualified small employers in qualified health plans as required under PPACA. Existing law requires the Exchange to apply for a federal waiver to allow persons otherwise not able to obtain coverage through the Exchange because of their immigration status to obtain coverage from the Exchange.
This bill would delete that requirement and would instead require the Exchange, no sooner than January 1, 2027, and upon appropriation by the
Legislature for this purpose, to administer a program to allow persons otherwise not able to obtain coverage by reason of immigration status to enroll in health insurance coverage in a manner as substantially similar to other Californians as feasible, consistent with federal guidance and given existing federal law and rules. The bill would require the Exchange to undertake outreach, marketing, and other efforts to ensure enrollment, which would begin on October 1, 2028. The bill would also require the Exchange to adopt an annual program design for each coverage year to implement the program, provide appropriate opportunities for stakeholders, including the Legislature, and the public to consult on the design of the program, and report to the Department of Finance and the Legislature on progress toward implementation, as specified. The bill would establish the Covered California for All Fund in the General Fund, to be administered by the Exchange, into which user fees, appropriations, and other funds would be
deposited to be used upon appropriation to pay for the administration of the program.

Current Bill Text

Download Bill PDF