Travel insurance cover under Obama Health or not

Question

I came to US on H1 in March. I purchase Travel insurance for 2 months from India.

My company is providing health care insurance for family. I have to pay insurance amount from my salary for my wife and son.

Health insurance can be start as date of hire (in March) or loss of current coverage (in my case its Travel insurance).

If I can start after loss of current coverage then I don't have to pay insurance amount for 2 months, which I already paid in India (for travel insurance).

I want to know that, if I start my health care in May (after my travel insurance) then I have to pay penalty when I file income tax return next year or there is no penalty because I already cover insurance (travel) when I was in US.

OR

I can start my insurance in company as my date of hire (in March) and start my spouse and son insurance in May (after travel insurance).

Answer 1

You'll need to check the travel insurance terms. Usually these kinds of policies will only cover emergency care, and require returning to your home country for continued care. So if something happens to you - your travel insurance would rather fly you back to India and treat you there, which may not be exactly what you had in mind when you started crossing the road just before that car hit you.

It sounds like you're trying to justify your sunk cost. Forget about the travel insurance.

Obamacare penalty is irrelevant. You should be thinking about what's best for you and your family.

Answer 2

My reply is too late to help you but may be helpful to others. There can be a short term gap in Obamacare coverage without penalty, see for example http://obamacarefacts.com/obamacare-coverage-gap-exemption/.