State RegulationsCA specific✓ Verified · outline & fact-checked · Sep 2026Difficulty 2/5
An individual is eligible for premium tax credits (APTC) through Covered California if household income is:
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Advance premium tax credits (APTC) are available to individuals and families with household income between 138% and 400% of the federal poverty level who purchase a qualified health plan through Covered California. Below 138% most adults qualify for Medi-Cal instead, and above 400% the subsidy phases out. The APTC is paid directly to the insurer by Covered California.
Why the other options are wrong
- B) Below 100% FPL, adults are generally routed to Medi-Cal rather than subsidized marketplace coverage in California.
- C) Above 400% FPL, premium tax credits are not available under the standard APTC schedule.
- D) The credits are strictly income-limited; they are not available at every income level.
Memory hook
Tax credits live in the 138-400% FPL band. Below it is Medi-Cal; above it, you pay full price.