Can I get help with an unexpected charge from a health insurance company that billed me even though I had another provider all year? I now owe taxes due to this issue.

[wallsn-11]

So I had Caresource in 2020 when I returned to the us and couldn’t afford insurance. I became a teacher in 2021 and got “real” health insurance through Humana in 2022 and was using them - or so I thought- all year. Apparently I was being billed for various things like hospital visits and prescriptions through Caresource at times (even though I canceled that insurance) and I now owe almost 2k in taxes due to this discrepancy. I’m dumbfounded and unsure what to do. As a teacher my salary doesn’t allow me to repay taxes especially in the amount more than my paycheck. I need help, fast! I filed an extension hoping I could clear it up with no luck. Any advice on what I can do?

[NCperson]

@wallsn-11  Please restate the time sequence a little clearer and when these hospital statys were. 

Regardless of when the bills were issused to you, if you had insurance on the date your were hospitalized, the bills should be submitted to that insurance carrier for payment.

Also, insurance carriers don't charge you for medical bills.  They might not pay the entire bill (as you are responsible for deductible and co-pays), but they would only charge you premium.  Please clarify what you mean that another carier billed you, 

Please state the specific dates you had insurance from each carrier.  Where there any periods of time that you were uninsured. 

What were the dates of these hospitalizations - were they during the period you were insured or during the dates you were uninsured,  

That type of information is not clear from what you posted. 

[wallsn-11]

my apologies, I wasn’t quite sure what I was looking at myself when I posted the question. It is actually a 1095-A that is causing me to owe taxes. Could someone explain how this works and why I would owe? Is it because I ended up finding a job later in the year? 

[NCperson]

@wallsn-11 oh - now I understand

When you applied for Obamacare, you estimated how much you expected to earn for the year.  the premium was set based on that estimate. But once the actual earnings are known, the premium is adjusted accordingly via the tax return. 

if you end up earning more than estimated, the premium should have been higher (i.e. the amt you owe is higher / your refund is lower)

if you end up earning less than estimated, the IRS will refund some of the premium (i.e. the amt you owe is lower / your refund is higher)

[fanfare]

You may need to end your Marketplace plan if you get other health coverage i.e. employer coverage.

DId you do that, and if so, what date did you terminate coverage?

@wallsn-11 

[wallsn-11]

I was 100% sure that I terminated coverage at the end of 2021. To my dismay I saw charges and LOTS OF BILLS coming from Caresource being sent to my old address despite the fact that I terminated coverage and was using my employer insurance through Humana and it’s impossible to get them on the phone. I feel like there is something I should be able to do but I’m not sure what.

[wallsn-11]

I just logged in and aw that I still had coverage!! I disenrolled yet again. Now I’m going to owe next year too, wow. Why is it impossible to get them on the phone ???

[Mike9241]

part of your issue is CARESOURCE with which we cannot help you. Find out why your insurance with them wasn't cancelled. I'm guessing that the tax issue is that you took out a Marketplace policy through Caresourse and never filed form 8962.  you may need the help of a tax pro who can sort through what appears to be multiple issues. 

[NCperson]

did you try calling them?  what state are you in?

https://www.caresource.com/members/contact-us/

your first issue is to untangle your insurance issue and then and only then resolve any tax issue. You do not need a tax pro currently. 

Also,  when you go to the doctor, etc, are you verifying your insurance carrier? From what you state, these providers are sending their bills to Caresource for settlement and Caresource is paying them, leaving you with deductibles and co-pays.  

If you have insurnace through your employer that is not Caresource, are you paying premiums to Caresource and if so, why? if you were not paying the premiums, they would have notified you and cancelled your coverage, so there is still something missing explanations from your story.