HHS Catastrophic Coverage Hardship Exemption Guidance
The provided guidance from the U.S. Department of Health and Human Services (HHS) expands upon existing hardship exemption policies for catastrophic health coverage. This new guidance, released on September 4, 2025, aims to help individuals access affordable health plans, particularly in anticipation of premium increases for the 2026 plan year. Specifically, it clarifies that individuals who are ineligible for advance payments of premium tax credits or cost-sharing reductions due to their projected household income may qualify for a hardship exemption to enroll in catastrophic plans. These plans are characterized by low monthly premiums and high deductibles, designed to protect against significant medical costs. The guidance does not introduce new regulations but offers an additional example of a hardship, with applications becoming available starting November 1, 2025.
For more information on this guidance, give us a call at (520) 721-4848.
