Today the U.S. Department of Health and Human Services released a final rule implementing standards set for States related to reinsurance and risk adjustment, and for health insurance issuers related to reinsurance, risk corridors, and risk adjustment. These programs, created as provisions under the Affordable Care Act (ACA), are intended to mitigate the impact of potential adverse enrollment selection and stabilize premiums in the individual and small group markets as insurance reforms and the Exchanges are implemented, which will begin in 2014. These three programs will help ensure that insurance plans compete on the basis of quality and service as opposed to attracting the healthiest individuals (known as adverse selection). Better competition leads to improved coverage so that both healthy and sick consumers can pick the best plan for their needs. Click here for a summary of risk adjustment, reinsurance, and risk corridors.

The U.S. Department of Health and Human Services (HHS) has released a proposed rule on the American Health Benefit Exchanges under the Affordable Care Act (ACA). The proposed rule addresses standards for establishing exchanges, setting up the small business SHOP exchanges, and certifying plans for participation in Exchanges. HHS also release a proposed rule on risk adjustment and reinsurance. This proposed rule implements standards for States related to reinsurance and risk adjustment, and for health insurance issuers related to reinsurance, risk corridors, and risk adjustment, as required by the ACA. More detailed analyses on these individual rules will be forthcoming on HealthReformGPS.org

The Department of Health and Human Services has announced that nearly an additional 1,000 employers and unions have been approved for the early retiree reinsurance program, bringing the total to almost 3,000 since the program launched in August. The health reform law made available five billion dollars to assist employers and unions maintain coverage for retirees over 55 not yet eligible for Medicare until the exchanges kick in in 2014.

The Department of Health and Human Services has announced that nearly 2,000 employers and unions have been accepted into the Early Retiree Reinsurance Program created by the health reform law. The program provides five billion dollars to assist employers and unions cover retirees over age 55 who are not yet eligible for Medicare.