Three Things to Remember About the Second Lowest Cost Silver Plan

If ‘I don’t want the second lowest cost Silver plan’ was the first thing you thought when reading that headline you probably think the SLCSP doesn’t affect you – but here are three things you really do need to know about it.

  1. The Second Lowest Cost Silver Plan available to you is the benchmark used to calculate the Advance Premium Tax Credit you will receive – in fact, APTC cannot be calculated without the SLCSP.  Granted, this is usually done behind the scenes by the nice computer – but an incorrect SLCSP can reduce or even deny your APTC.
  2. The Second Lowest Cost Silver Plan isn’t the same for everyone – like all insurance plans, the premium and even the type of plan available are determined by where you live – most often by zip code. Your friend across the street who happens to have a different zip code may not even have the same SLCSP available – or may receive a very different premium from yours even though he’s the same age and gender as you!
  3. The SLCSP can be incorrect – and that can cost you money. This is the most difficult thing about the process to check – but there are ways. The most obvious are make sure your details are correct – zip code and date of birth especially – when you are running a calculation, using a plan finder and most especially when you are enrolling. Take a moment and find the SLCSP on either the plan finder or in the enrollment and screen print it – then save that page where you can find it. 99% of the time, you’ll never need it again – but if there is an error with the SLCSP this will be invaluable in proving it later.

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