Minimum value

A standard of minimum coverage that applies to job-based health plans. If your employer’s plan meets this standard and is considered “affordable,” you won’t qualify for a premium tax credit if you buy a Marketplace insurance plan instead.

A health plan meets the minimum value standard if both of these apply:

It’s designed to pay at least 60% of the total cost of medical services for a standard population
Its benefits include substantial coverage of physician and inpatient hospital services

To find out if your job-based plan meets the minimum value standard, ask your employer. You can also ask them to fill out the Employer Coverage Tool (PDF, 157 KB).

Related content

How to know if a plan is considered “affordable”

In 2024, a job-based health plan is considered "affordable" if your share of the monthly premium in the lowest-cost plan offered by the employer is less than 8.39% of your household income. Refer to glossary for more details.