Question: People can be exempt from the (individual mandate) penalty if they have income below the tax filing threshold. But why people would want to be exempted but not just go into Medi-Cal and get full benefit?
Answer: Right. It doesn’t make sense to pass up free health care insurance, yet many people do. Many thousands of legal California residents who are currently eligible for Medi-Cal do not sign-up. I most cases it’s because the powers that be have not been able to get the message to them. Covered California has committed enormous outreach resources to get to these people in the next few months.