Health Insurance for Early Retirees in Delaware (Ages 55 to 64)
Retiring before 65 in Delaware means buying your own coverage for a few years. The right plan, and the right income plan, can save thousands before Medicare starts.
Bridging to Medicare in Delaware
If you retire before 65 in Delaware, you need coverage until Medicare starts. For most people that means a Marketplace plan bought through HealthCare.gov, or continuation coverage for a limited time if your former employer offers it.
Income planning matters more now. With the enhanced credits gone, the cutoff at 400% of the poverty level is back, and older buyers feel it most because their full-price premiums are higher. One published Wilmington example showed a 60-year-old earning $63,000 going from about $186 a month in 2025 to $994 a month in 2026 after losing subsidy eligibility. How you time retirement account withdrawals, pensions or part-time work can change what you pay.
If your countable income in a year is low enough, you may qualify for Delaware Medicaid instead, since the state covers adults up to 138% of the poverty level.
Why your income estimate matters so much
Marketplace subsidies are based on your modified adjusted gross income (MAGI) for the coverage year. For early retirees, that number is partly in your control: it depends on which accounts you draw from and when.
Withdrawals from traditional IRAs and 401(k)s count as income. Qualified Roth withdrawals generally don’t. For ACA purposes, MAGI also adds back tax-exempt interest and any Social Security benefits that aren’t taxed. A tax professional and a licensed agent working from the same income plan can make a large difference to what you pay.
Subsidies in 2026
The extra premium tax credits that started in 2021 expired at the end of 2025 and Congress did not extend them, so the original ACA rules apply for 2026 and 2027. That means the subsidy cliff is back: if your household income is above 400% of the federal poverty level, you generally get no premium help, which hits older Delawareans hardest.
Delaware questions
Don’t see your question? Ask a licensed agent or call (888) 214-4898.
Only if your household income is at or below 400% of the federal poverty level, now that the enhanced credits have ended. Above that, you pay full price, which is high for older buyers in Delaware. Planning how much income you report can make a large difference.
Yes. The state approved average increases of about 17.2% for Highmark and about 13.9% for AmeriHealth Caritas for 2027, before subsidies. Those increases came on top of an average of about 27.7% for 2026.
Delaware's mini-COBRA lasts up to 9 months and ends if you become eligible for Medicare. If you need longer coverage before 65, you will likely move to a Marketplace plan at some point.
Sources
Reviewed October 2026. Rules and prices change every year; a licensed agent will confirm what applies to you.
- Delaware Health Insurance Marketplace: 2026 ACA Coverage Guide (healthinsurance.org)
- Delaware News: Marketplace health insurance rates for 2026 (August 22, 2025)
- Delaware News: Delaware Announces 2027 Marketplace Health Insurance Rates (September 4, 2026)
- Medicaid eligibility and enrollment in Delaware (healthinsurance.org)
- Delaware Code Title 18, Chapter 35, Subchapter III (includes ยง 3571F Mini-COBRA)
