The alternative is 1 percent of your total household income, whichever is greater up to a maximum equal to the national average annual premium for a “bronze” health insurance plan. The CBO estimates this to be approximately $5,000 for an individual in 2016 and $12,000 for a family. If you fail to obtain coverage, the fee will be applied to your annual taxable income for each month you don't have health insurance beginning after March 31. In 2015, the penalty increases to 2 percent of your income. In 2016, it’s 2.5 percent of your income; by 2017, it will increase by the rate of inflation.