If you have lost health insurance due to the termination of a job, the first option to consider is Medicaid, which has no premiums, deductibles, or co-pays. In New Jersey, Medicaid is part of the NJ FamilyCare program. You may be eligible for Medicaid even if your household is receiving some income. Income eligibility for adults is 138% of the Federal Poverty Level (FPL), based upon the size of the household..Current income limits can be found at Who is Eligible?. Countable income is based on the MAGI method, which is explained in Medicaid Eligibility and the Modified Adjusted Gross Income (MAGI) Method of Calculating Income. If you are receiving unemployment benefits, the gross amount of your regular NJ unemployment benefits is counted as income.

You can apply for Medicaid at any time. You can use the online application found at the NJ FamilyCare website. Your application usually takes 30 days or less to process, but the sooner you apply, the sooner your coverage will start. Coverage will be effective the first of the month that you applied. Additional retroactive coverage may be available for medical bills up to three months prior, if you are found to be income eligible for those months as well.

If your household income is too high for NJ FamilyCare, it may still be low enough to qualify for a subsidized policy through the state-based marketplace exchange. Although this is coverage that you pay for, it is more affordable than if you have to pay the full cost of a policy. The application can be done online, at Get Covered New Jersey. If you want to be considered for a subsidy, you must answer “yes” to the question about whether you plan to file a federal tax return for the following year. (You can file a return even if you don’t owe taxes.) Plans are offered on “Bronze, Silver, Gold, Platinum” levels. The Silver level plans are best for persons below 250% FPL because deductibles and co-pays are reduced. If you need assistance with your application or figuring out the best plan for your situation, the asssitors (not brokers/agents) listed on the Get Covered NJ website are a good unbiased resource.

The marketplace has some important timelines to keep in mind. You only have 60 days of a “special enrollment period”, starting the day after your employer-based coverage ends, to file an application. If you apply by the 15th day of a month, your coverage will be effective on the first day of the following month. Be careful: if you elect COBRA coverage under your former employer’s plan, you are not able to apply for coverage on the marketplace until the open enrollment period in November, for coverage in the following year.

This information last reviewed: Dec 18, 2024