Skip to Main Content

Affordable Care Act: Understanding Health Insurance

Information about the Affordable Care Act and the Health Insurance Marketplace

Medicaid in South Dakota

  • The Affordable Care Act initially required states to expand Medicaid to cover all people at 138% Federal Poverty Level (FPL) and
  • The Federal Poverty Level is a measure of income level issued annually by the Department of Health and Human Services. Federal poverty levels are used to determine eligibility for certain programs and benefits.
  • The Supreme Court ruled in June, 2012 that the federal government could not withhold federal funds if states
    didn't expand Medicaid
  • As a result, states can decide whether to expand their Medicaid program. 
  • South Dakota had not expand the program at this time.

What is Health Insurance?

Marketplace Plans - Potentially Lower Costs for Coverage

Individuals may begin applying for Marketplace coverage as early as October 1, 2013. Upon application, individuals will find out whether or not they qualify for lower costs on insurance premiums or out-of-pocket costs. These savings are based on household income and size.

If an insurance plan is purchased outside the Marketplace (such as with a private insurer) individuals are not eligible for lower costs based on income.

If individual or household income falls below the amounts determined each year, they may qualify for coverage under South Dakota's Medicaid program. However, since South Dakota has not yet expanded Medicaid, and if the individual does not qualify for Medicaid under current state rules-- individuals cannot get lower costs on Marketplace coverage based on income. Individuals will have to pay the entire cost of a Marketplace insurance plan.

Subject Guide

Profile Photo
Shelie Vacek
Wegner Health Sciences Library
Footer for USD LibGuide v2.0