What is “minimum essential coverage”?

The type of coverage an individual needs to have to meet the individual responsibility requirement under the Affordable Care Act is called “minimum essential coverage.” If you do not and you are not exempt from the requirement to have coverage, you will be expected to pay a penalty when you file your taxes.

The health coverage below is considered “minimum essential coverage.” If you are covered by any of the following throughout the year, you are all set and will not have to pay a tax penalty:

  • Any plan you get through Maryland Health Connection or any individual insurance plan you already have that is not through Maryland Health Connection
  • Any employer plan that qualifies as minimum essential coverage. Nearly all employer plans meet this standard, including COBRA and retiree plans
  • Medicare (Part A)
  • Medicaid
  • MCHP or MCHP Premium
  • Most Veterans Affairs Health Programs
  • Peace Corps Volunteer Plans
  • Other plans may also qualify. Call 1-855-642-8572 (Deaf and hard of hearing use Relay service) if you’re not sure.