Median income CT residents squeezed between rising insurance premiums and inadequate subsidies

A new CMS analysis finds that between 2015 and 2019, US insurance premiums rose while enrollment in insurance exchanges went down. The report found that 85% of the drop in enrollment was in unsubsidized coverage. People with incomes below 400% of the federal poverty level ($51,040 for an individual, $86,880 for a family of three) receive subsidies based on their incomes and are largely insulated from rising premiums. People with higher incomes do not qualify for subsidized insurance and must pay the full share of those rising premiums. The median household income in Connecticut was $76,106 in 2018.

Connecticut has also seen a precipitous drop in unsubsidized insurance exchange enrollment, according to the CMS report.

While Connecticut uninsurance rates have been declining for all family income levels, but families with incomes between $25,000 and $49,000 have made the most progress. In contrast, families with incomes between $50,000 and $75,000 have benefitted the least. Too many families near Connecticut’s median family income, $76,106 do not qualify for insurance subsidies but cannot afford rising premiums.