Dear Friends,
The entertainment community has been reeling from the financial effects of COVID-19, but one aspect that has been overlooked in the media is the effect it’s had on union health plans and their ability to insure their members.
Entertainment union health plans are “multi-employer” plans, which provide stable health care coverage for workers with sporadic employment. These plans pool healthcare contributions from different employers to create a single fund that provides health benefits. If you meet the requirements set by each union of minimum earnings or minimum days (or weeks) of employment within a certain number of calendar quarters, you will establish coverage for yourself for a period of time, usually from 6 months to 1 year.
The lack of employer and member contributions since the advent of COVID-19 has put a serious financial burden on those plans. All plans are looking at, or have implemented, ways to ease the hardship on members while maintaining their own viability. However, based on conversations we’ve had with plan leadership, we estimate up to 30% of members will lose coverage by the end of the year, despite these efforts. The percentage of loss varies by union, with some seeing more and some less. This would be worrisome at any time, but it is particularly so during a pandemic. While many in the industry will continue to receive unemployment benefits through the end of the year, these payments are not enough to cover housing costs, other bills, and health insurance premiums.
In a recent interview with Broadway World, Equity-League Fund Executive Director Arthur Drechsler said, “As a Multiemployer Trust Fund, we are funded by contributions we receive from employers and plan participants…our current goal is to provide as much coverage, to the greatest number of people, for the longest possible time. Because our ability to carry out our mission is driven by the contributions we receive, and since employer contributions have plummeted as a result of theater closings, along with the incomes of our plan participants, our income has severely and precipitously dropped.”
These challenges are, of course, not unique to Actors Equity, and apply to any union whose work essentially disappeared almost overnight.
There are attempts to address this looming healthcare crisis at the federal level. The Worker Health Protection Act, introduced in April in the House, would provide up to 15 months of premium assistance to cover 100 percent of insurance premiums owed by unemployed and furloughed workers, including those in the entertainment industry, and is supported by many unions. The HEROES Act, which was passed by the House in May but has yet to be reviewed by the Senate, would cover 100 percent of COBRA insurance premiums between March 1, 2020, and January 31, 2021. It also includes additional unemployment benefits, rental aid and mortgage relief. Both of these bills would go far towards protecting the health of industry members and union health plans in a time of crisis. If you would like to advocate for their passage, contact your senators.
While these bills are debated, there are concrete steps entertainment workers and performing artists can take to secure coverage. Those who lose coverage will be eligible for a Special Enrollment Period (SEP) outside of Open Enrollment. A special enrollment period lasts for 60 days from the date of the following life changes:
- Loss of insurance coverage through an employer or union
- Turning 26 years old
- Moving to a different state or county
- Having or adopting a baby and, in some states, becoming pregnant
- A change in immigration status
- Getting divorced or legally separated
- COBRA coverage ending
Important to note: SEPs do not apply if you voluntarily give up coverage because you can’t afford it.
Those who are losing coverage have various options to get insurance in those 60 days, including enrolling in COBRA (if the loss was through a job/union plan) and buying insurance on your state’s Marketplace which may give you a discount based on your estimated 2020 income. If your income as a single person is less than approx. $51,000/year, you will receive a discount on your monthly premiums. You can also skip the Marketplace and buy insurance directly from an insurer, but they won’t give you a discount based on your income, and there are many junk insurance plans out there. Finally, if you live in one of the 36 states that expanded Medicaid and your income is below approx. $17,000 this year—or below approx. $1,500 this month—you will be eligible for Medicaid, which is comprehensive and free. Applications in most of these states are submitted through the www.healthcare.gov website as well.
As this pandemic continues, we will keep you informed of any changes in the healthcare landscape, and hope that you will continue to support and advocate for each other and this vibrant community.
Yours in good health,
Renata Marinaro
Do you work in performing arts and entertainment and have questions about health insurance? The Actors Fund provides assistance nationally. Contact our regional office closest to you to speak to a counselor.
New York City
917.281.5975
Los Angeles
855.491.3357
Don’t forget to use the resources section of our website. It contains tools to help you make decisions about your health insurance, including new online tutorials on how to choose providers and how to read an Explanation of Benefits. In addition, you’ll find an updated Stage Managers National Health Directory, our national online directory of health care providers recommended by industry professionals that can be used by theaters and touring companies. For these resources and more, visit actorsfund.org/HealthServices. You can also find out more about enrollment assistance and upcoming health insurance seminars near you!