Arizona Health Insurance Practice Exam

The correct statement reflects the current status of health insurance penalties in the United States as of 2023. After the Tax Cuts and Jobs Act of 2017, the federal individual mandate penalty for not having health insurance was effectively eliminated starting in 2019. This means that there is no longer a federal requirement for individuals to obtain health insurance, nor is there a federal penalty for failing to do so.

While Arizona does not impose any state-specific penalties for individuals who choose not to have health insurance, it is important to note that some states, such as California and Massachusetts, have enacted their own mandates and penalties for uninsured residents. Therefore, while there is no federal penalty that applies, individuals living in certain states may encounter different requirements.

The other options suggest either a non-existent federal penalty or incorrect state actions, leading to the conclusion that individuals in Arizona are not subject to penalties for lacking health insurance. Thus, the awareness that only some states may have their own penalties is the key component of the correct answer.