You may hear people talk about health insurance tiers or types of "metal" plans. This refers to the amount of coverage, cost, and value you can expect from each plan.
There are four metal tiers associated with health plans. Platinum plans generally have the highest premiums and the highest level of coverage, while Bronze plans generally have the lowest premiums and the lowest amount of coverage.
Below is an overview of the amount of coverage you can expect your health insurance plan to pay based on the metal tier.
Platinum: Insurance pays 90% of your bill after you meet your deductible. You pay 10% of your bill.
Gold: Insurance pays 80% of your bill after you meet your deductible. You pay 20% of your bill.
Silver: Insurance pays 70% of your bill after you meet your deductible. You pay 30% of your bill.
Bronze: Insurance pays 60% of your bill after you meet your deductible. You pay 40% of your bill.
Catastrophic Plans: These are plans that are only available to individuals applying for coverage who are under the age of 30 or who have a hardship or affordability exemption. These plans have low monthly premiums and very high deductibles. For 2020, the deductible for all Catastrophic plans is $8,150.
They are designed to protect you from worst case scenarios, and also cover the same essential health benefits that the other plans are required to cover.
Note: You cannot use a premium tax credit to pay for part of a Catastrophic Plan.
High Deductible Health Plans (HDHPs): This refers to any plan that has a deductible of at least $1,400 for an individual or $2,800 for a family. An HDHP’s total yearly out-of-pocket expenses (including deductibles, copayments, and coinsurance) can’t be more than $6,900 for an individual or $13,800 for a family except for services that are out-of-network.