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AB 1907

California Health Benefit Exchange: automatic health care coverage enrollment.

2025-2026 Regular Session Introduced by Dawn Addis and 2 co-sponsors

AB 1907 expands automatic enrollment in Covered California to include plans based on household members, Indian reduced-cost-sharing plans, or a prior plan when feasible, starting J

From committee: Do pass. (Ayes 15. Noes 0.) (May 14).
#californiahealthbenefitexchange #automatichealthcarecoverageenrollment
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WeVote Research Nonpartisan
Bill Summary · AB 1907

Summary of AB 1907 (2025-2026) – California Health Benefit Exchange: automatic health care coverage enrollment

Purpose and intent

  • AB 1907 seeks to modify California’s Health Benefit Exchange (Covered California) enrollment rules to add automatic enrollment pathways for individuals who qualify for financial assistance through the Exchange.
  • The bill would initially take effect on July 1, 2027, and would extend in subsequent years the scenarios under which automatic enrollment can occur, including consideration of household members’ plans and plans tailored to certain Indian individuals.
  • It also updates the notice requirements associated with automatic enrollment and clarifies timing relative to coverage termination dates.

Key provisions and changes

  • Background: Existing law requires the Exchange to enroll an eligible individual in the lowest cost silver plan (or an alternative specified plan) upon receiving an electronic account from an insurance affordability program. Enrollment must occur before the insurance affordability program coverage terminates, and premium due dates are aligned with the first month of enrollment.
  • New automatic enrollment triggers (effective July 1, 2027):
    • The Exchange may enroll an eligible individual in one of the following plans: 1) The lowest cost silver plan available. 2) The plan in which other household members (as defined by the Exchange’s household rules) are enrolled. 3) The lowest cost plan available to an Indian eligible for reduced cost sharing. 4) If available, the plan offered by the individual’s previous managed care plan, based on information from the county or state health departments or other plans as determined by the Exchange.
    • Enrollment can occur upon receipt of a complete application for an insurance affordability program submitted through the Statewide Automated Welfare System (SAWS) or upon receipt of an electronic account from the insurance affordability program.
    • Enrollment must occur before the termination date of the insurance affordability program or upon receipt of a complete SAWS application.
  • Premium and notice changes:
    • The premium due date for the enrolled plan must not be sooner than the last day of the first month of enrollment (i.e., ensures at least a full grace period for the first month).
    • The Exchange must provide a pre-coverage notice before the individual’s effective date of coverage. This notice must include:
    • The specific plan in which the individual is enrolled.
    • The individual’s right to select another available plan and relevant deadlines.
    • Information on how to receive assistance to select a plan.
    • The individual’s right not to enroll in the plan.
    • Information for appealing prior coverage through an insurance affordability program.
    • Instructions on how to effectuate coverage (pay the premium by the due date, or, if no premium is due, how to opt into the plan).
  • Timing and sunset:
    • The current section (100503.4) containing the automatic enrollment framework, which was implemented in the past, would become inoperative on July 1, 2027, and be repealed on January 1, 2028, unless replaced by the new framework in subsection (a).
    • The new section 100503.4 (added) sets forth the July 1, 2027 operative date for the expanded automatic enrollment provisions described above.

Who is affected

  • Individuals eligible for financial assistance through the California Health Benefit Exchange.
  • Household members whose enrollment could be synchronized via “the plan in which other members of the household are enrolled.”
  • American Indian individuals eligible for reduced cost-sharing benefits.
  • Individuals transitioning from an Insurance Affordability Program to Covered California via SAWS or other designated systems.
  • Health plans and insurers participating in Covered California, as enrollment processes and notices will be updated accordingly.

Procedural and timeline aspects

  • Effective date for expanded automatic enrollment: July 1, 2027.
  • Interim provisions: Current automatic enrollment framework remains in place until the new system becomes operative, with a transition that culminates in statutory repeal of the old section on January 1, 2028.
  • Enrollment timing: Plan enrollment must occur before the termination of the current coverage through the insurance affordability program or upon receipt of a complete SAWS application.
  • Notice obligations: Expanded pre-coverage notices with detailed information are required prior to the effective date of coverage.

Fiscal considerations

  • The bill does not include an appropriation; a separate fiscal impact assessment would be determined by the Legislature and relevant committees (the bill’s fiscal status is indicated as “No” appropriation in the digest).

Summary assessment

AB 1907 broadens and formalizes automatic enrollment pathways within the California Health Benefit Exchange, enabling enrollment not only in the lowest-cost silver plan but also in plans aligned with household members, Indian reduced-cost-sharing plans, or a prior plan when feasible. It emphasizes timely enrollment, clarifies premium timing, and strengthens pre-enrollment notices to ensure opt-in/opt-out choices remain accessible. The changes are designed to streamline coverage continuity for eligible individuals while maintaining opportunities to select alternative plans.

Compiled from official sources — confirm details with the bill’s official record.

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