MNsure Premium Subsidies 2026
Complete guide to understanding and qualifying for premium tax credits and cost-sharing reductions. See how much you can save on health insurance in Minnesota.
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What Are Health Insurance Subsidies?
Health insurance subsidies are federal financial assistance programs that help lower your monthly premium and out-of-pocket costs when you buy insurance through MNsure. There are two main types:
Premium Tax Credits (APTCs)
Reduces your monthly insurance premium. Can be applied immediately to lower your monthly payment, or claimed as a tax credit when you file taxes.
Available for Bronze, Silver, Gold, and Platinum plans
Cost-Sharing Reductions (CSRs)
Lowers your deductible, copays, and out-of-pocket maximum when you actually use healthcare services.
Only available with Silver plans
💡 Key Insight
If your income is below 250% of the Federal Poverty Level, choosing a Silver plan often saves you more money than a Bronze plan, even though Bronze has a lower premium. This is because of cost-sharing reductions that drastically lower your out-of-pocket costs.
2026 Income Eligibility Limits
To qualify for premium tax credits, your household income must be between 100% and 400% of the Federal Poverty Level (FPL). Here are the 2026 income limits:
Premium Tax Credit Income Limits (2026)
| Household Size | 100% FPL | 250% FPL | 400% FPL |
|---|---|---|---|
| 1 Person | $15,060 | $37,650 | $60,240 |
| 2 People | $20,440 | $51,100 | $81,760 |
| 3 People | $25,820 | $64,550 | $103,280 |
| 4 People | $31,200 | $78,000 | $124,800 |
| 5 People | $36,580 | $91,450 | $146,320 |
What Income Counts?
Subsidy eligibility is based on your Modified Adjusted Gross Income (MAGI), which includes:
- • Wages and salaries
- • Self-employment income
- • Social Security benefits (taxable portion)
- • Investment income and capital gains
- • Rental income
- • Unemployment compensation
Not included: Supplemental Security Income (SSI), child support, gifts, and most disability benefits
Cost-Sharing Reductions (CSRs)
If your income is below 250% FPL and you enroll in a Silver plan, you automatically get cost-sharing reductions that lower your deductible, copays, and out-of-pocket maximum.
CSR Income Limits & Benefits
100-150% FPL (Enhanced CSR)
Your plan pays: 94% of covered costs
Typical deductible: $0-$100 | Max out-of-pocket: ~$1,300
150-200% FPL (High CSR)
Your plan pays: 87% of covered costs
Typical deductible: $200-$500 | Max out-of-pocket: ~$2,900
200-250% FPL (Standard CSR)
Your plan pays: 73% of covered costs
Typical deductible: $800-$1,500 | Max out-of-pocket: ~$6,500
💡 Why This Matters
Without CSRs, a standard Silver plan might have a $5,000 deductible and $9,100 out-of-pocket maximum. With enhanced CSRs at 150% FPL, you might pay $100 deductible and $1,300 max out-of-pocket. That's $7,800 in potential savings if you need healthcare!
Real Subsidy Examples
Here's what subsidies look like for real Minnesota households:
Example 1: Single Adult, $30,000 Income
Income Level
200% FPL
Qualifies For
Premium Tax Credits + CSRs
Without Subsidy: $450/month premium
With Subsidy: $100/month premium
Monthly Savings: $350 | Annual Savings: $4,200
Example 2: Family of 4, $65,000 Income
Income Level
208% FPL
Qualifies For
Premium Tax Credits + CSRs
Without Subsidy: $1,200/month premium
With Subsidy: $260/month premium
Monthly Savings: $940 | Annual Savings: $11,280
Example 3: Couple (both 60), $55,000 Income
Income Level
269% FPL
Qualifies For
Premium Tax Credits Only
Without Subsidy: $1,800/month premium (older adults pay more)
With Subsidy: $360/month premium
Monthly Savings: $1,440 | Annual Savings: $17,280
How to Apply for Subsidies
Applying for subsidies is automatic when you enroll through MNsure. Here's the process:
Create MNsure Account
Go to MNsure.org and start an application. You'll create an account with your email.
Report Your Income
Enter your expected 2026 income for everyone in your household. MNsure will calculate your eligibility automatically.
See Your Subsidy Amount
MNsure will show you how much subsidy you qualify for and display plan prices with subsidies already applied.
Choose Your Plan
Compare plans with your subsidy applied. Remember: If eligible for CSRs, choose a Silver plan for maximum savings!
Enroll & Pay First Premium
Complete enrollment and pay your first month's premium (with subsidy already deducted) to activate coverage.
Common Questions About Subsidies
What if my income changes during the year?
You must report income changes to MNsure within 30 days. Your subsidy will be adjusted up or down. Failure to report can result in owing money back when you file taxes.
Can I get subsidies if I'm self-employed?
Yes! Self-employed individuals often qualify for significant subsidies. Your income is based on your net self-employment income (after business expenses).
Do I have to pay back my subsidy?
Only if your actual income for the year is higher than you estimated. If you earn less than expected, you might get additional credit when you file taxes.
Can I use subsidies to buy insurance outside MNsure?
No. Premium tax credits and cost-sharing reductions are ONLY available through MNsure, not when buying insurance directly from carriers.
Related Resources
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See exactly how much you can save with premium subsidies