Generally, penalties are the higher of a flat dollar amount per person or 2.5% of household income.
You may qualify for an exemption from state penalties, often including scenarios like financial hardship (e.g., homelessness), unaffordable coverage (costing over ~8% of income), short coverage gaps (under three months), or religious objections. Health coverage exemptions, forms, and how to apply do i have to buy health insurance
Uses a sliding scale based on income, age, and family size, capped at half the cost of the lowest-priced available plan. Generally, penalties are the higher of a flat
Requires reporting insurance status but currently imposes no financial penalty. 3. Common Exemptions Requires reporting insurance status but currently imposes no
In 2026, whether you "have" to buy health insurance depends on where you live. While there is no longer a federal financial penalty for being uninsured, several states have implemented their own mandates. 1. Federal Law (The ACA)
If you reside in the following jurisdictions, you are legally required to maintain health insurance or pay a penalty when filing your taxes:
At the federal level, the individual mandate—part of the Affordable Care Act (ACA)—technically still exists, but the penalty for non-compliance was reduced to $0 in 2019. This means the Internal Revenue Service (IRS) will not fine you on your federal tax return if you choose to go without coverage.