Author: Jayne Zanglein, Western Carolina University

An employee may be eligible for a premium credit under three circumstances:

  1. The employer does not offer coverage;
  2. The employer offers coverage that is unaffordable (i.e., the premium exceeds 9.5 percent of the employee's household income); or
  3. The employer offers coverage that does not provide minimum value (i.e., the plan pays, on average, less than 60 percent of the covered health expenses).