California expands health enrollment options to ease transitions
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Starting in 2027, Covered California will change how it enrolls some residents into health insurance plans, aiming to simplify coverage transfers and maintain continuity of care.
Governor Gavin Newsom signed AB 1907 into law on September 14, 2026, to allow the state health exchange more flexibility when automatically assigning plans to people eligible for financial assistance. Currently, the system generally defaults to the lowest-cost Silver plan unless sufficient data exists to enroll someone in their previous healthcare organization’s plan.
The new law enables Covered California to consider the existing health coverage of other family members when determining a new plan for an eligible individual. This could be especially helpful for families in areas like Los Angeles, the Inland Empire, and the Central Valley, allowing them to stay with familiar doctors, pharmacies, and clinics. The changes apply to people transitioning from programs like Medi-Cal or those receiving assistance through the Statewide Automated Welfare System.
Covered California will also be able to assign a plan based on a person’s previous healthcare organization, if data is available, or a lower-cost option for Native Americans meeting federal requirements. Individuals will still have the right to choose a different plan, and they will receive a notice explaining their options and deadlines for making changes. The annual open enrollment period, from November 1 to January 31, will remain in place, though state dates may align with federal regulations.
