Reviewed October 2026 by the SmartCoverage Editorial Team (how we research). We explain how coverage works in general; we are not licensed agents, and rules depend on your state and income.
Without an employer plan, the cheapest health coverage depends on three things: your age, your income and whether you just lost a job. Start with the questions below, then read the answers that apply to you.
Find your cheapest route to coverage
A few questions, each depending on the last. About a minute.
Income ranges use 2026 poverty guidelines: 100% is about $15,960 for one person and $33,000 for four; 138% is about $22,000 and $45,500; 400% is $63,840 and $132,000. Rules vary by state. For guidance only.
Can I stay on my parents’ plan?
Yes, until you turn 26, if your parent’s plan offers dependent coverage. It does not matter whether you are married, live at home, are a student or are claimed on their taxes. You can even stay on it if you are offered a job with insurance. For most young adults it is the cheapest option available, because the parent’s employer usually pays part of the cost. When you turn 26, you get a 60-day special enrollment period to buy your own plan.
I just lost my job. COBRA or the marketplace?
Usually the marketplace, but check both. COBRA lets you keep the exact plan you had, with the same doctors and the same deductible progress, for up to 18 months in most cases. The catch is the price: you pay the full premium your employer used to share, plus up to 2% for administration. For a family that can easily run to well over $1,500 a month.
Losing job-based coverage opens a 60-day special enrollment period on the marketplace, where your premium is based on your expected income for the year. If you are out of work for part of the year, that income may be low enough for a sizable subsidy. COBRA can still make sense if you have already met most of your deductible, are in the middle of treatment with specialists who are not in marketplace networks, or expect a new job with coverage within a month or two. You have 60 days to elect COBRA, and coverage is retroactive if you pay, which gives you some time to compare.
Do I qualify for Medicaid?
Possibly, especially if your income dropped. According to KFF, 40 states and Washington, DC, have expanded Medicaid to adults with incomes up to about 138% of the poverty level, roughly $22,000 for one person or $45,500 for a family of four in 2026. Medicaid usually has no premium and very low costs, and you can apply at any time of year, not just during open enrollment.
Two changes are coming. From January 1, 2027, states must require most adults covered by the expansion to show at least 80 hours a month of work, school, job training or community service, with exemptions for groups such as people who are medically frail. Separately, the federal health law passed in 2025 will add more frequent eligibility checks. If you are on Medicaid, keep your contact details current with your state so you do not miss renewal notices.
In the 10 states that have not expanded, many adults below the poverty level fall into a coverage gap: too little income for marketplace subsidies, which start at 100% of the poverty level, and not eligible for Medicaid. Children, pregnant people and people with disabilities have separate rules, so it is still worth applying.
What does a marketplace plan cost now?
More than it did. With the enhanced subsidies gone, KFF found that the average monthly premium people paid after subsidies rose from $113 in 2025 to $178 in 2026, and the average deductible rose to $3,786. Those are averages across all incomes; at lower incomes, subsidies still cover most of the premium for the benchmark Silver plan.
If your income is below 250% of the poverty level, choose a Silver plan even if Bronze looks cheaper. Silver is the only level that comes with cost-sharing reductions, which can cut a deductible of several thousand dollars to a few hundred. Our guide to the best health insurance companies includes a calculator for comparing metal levels over a full year.
What if I earn too much for a subsidy?
Above 400% of the poverty level there is no subsidy, so the full premium is yours. Three ideas help. First, a Bronze plan paired with a health savings account gives you a lower premium and a tax deduction for what you save toward the deductible; see our HSA vs FSA guide. Second, catastrophic plans, once limited to people under 30, are now open through a hardship exemption to people who cannot get a subsidy because of their income, according to CMS. They have very high deductibles but cover preventive care and three primary care visits before the deductible. Third, income you put into retirement accounts lowers the figure the marketplace uses, which can bring you back under the line. Our guide for the self-employed explains how.
Are short-term plans or health sharing a good idea?
Only as a stopgap, and only if you are healthy. Short-term plans are cheaper because they can refuse applicants, exclude preexisting conditions and cap benefits. Health care sharing ministries are not insurance: members share medical bills under guidelines that are not legally binding, and many exclude preexisting conditions. Either can leave you with large bills if you get seriously ill. Our guide to short-term health insurance compares it with marketplace coverage.
What about my kids?
Children often qualify for Medicaid or the Children’s Health Insurance Program (CHIP) at higher family incomes than adults, often above 200% of the poverty level and well beyond in some states. Even if you buy a marketplace plan for yourself, check whether your children qualify; the application on HealthCare.gov or your state marketplace screens for this automatically.
Can someone help me choose for free?
Yes. Every state has trained navigators and certified assisters who help people compare plans and apply, at no cost and without selling any company’s products. You can find one through HealthCare.gov or your state marketplace. Licensed brokers can also enroll you in marketplace plans at no extra charge, because insurers pay them, though they may only work with some insurers.
When can I sign up?
Medicaid and CHIP: any time. Marketplace: during open enrollment, which starts November 1 each year, or within 60 days of a qualifying life event such as losing coverage, moving, marrying, having a baby or turning 26. Deadlines for open enrollment vary between HealthCare.gov and state-run marketplaces, so check yours.
The most expensive mistake is letting that 60-day window slip by. Many people who lose a job assume they will find another one quickly and wait. If something happens in the meantime, they are uninsured with no way to enroll until the next open enrollment. Even a cheap plan bought within the window keeps your options open.
Sources
- KFF: Status of state Medicaid expansion decisions (October 2026)
- Stateline via Wisconsin Examiner: Federal Medicaid work requirement rules (June 2026)
- KFF: 2026 ACA marketplace enrollment, premiums and deductibles
- CMS: Consumers gain access to catastrophic health insurance plans (September 2025)
- HHS ASPE: 2026 poverty guidelines