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Are you an app-based driver in California?

Did you know that as an app-based driver in California, you could still qualify for additional incentives to help pay for health insurance? Learn how Xiggit and Covered California can help you save even more money.

If you are an app-based driver in California, you are most likely receiving a healthcare stipend from your network company. This is all thanks to Proposition 22, passed in November 2020.

What is Proposition 22?

Proposition 22 requires app-based network companies (Uber, Lyft, etc.) to pay a health care stipend to drivers every quarter. This stipend will either be 82% or 41% of the average statewide monthly bronze premium. Drivers engaged on average 25 hours or more per week will receive 82% of the premium value, while drivers engaged between 15 and 25 hours per week will receive 41% of the premium value.

Young man holding black steering wheel with question marks around himHow much will my stipend be?

For 2023, the average statewide monthly bronze premium is $555. If you are in the 82% stipend tier, you will receive a stipend of $455 per month from your network company. If you are in the 41% stipend tier, you will receive a stipend of $228 per month.

But wait, there's more!

If you are an app-based driver receiving a stipend, you still may be eligible for Advanced Premium Tax Credits (APTC). The tax credits will help reduce your premiums' cost, even if you are receiving an app-driver stipend from your network company.

Female driver in a car looking very happyXiggit is here to help you get the best value for your dollar

You must purchase a qualified plan through Covered California to qualify for both the app-based driver stipend and the Premium Tax Credits. The team at Xiggit can help walk you through the options and help you understand what you qualify for. Simply contact us for more information.

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