You and your employees could benefit from the Early Retiree Reinsurance Program
As part of the Affordable Care Act, the Early Retiree Reinsurance Program will provide $5 billion in financial assistance to employers to help them maintain coverage for early retirees. Employers who are accepted into the program will receive reinsurance reimbursement for medical claims for retirees age 55 and older who are not yet eligible for Medicare, and their spouses, surviving spouses, and dependents. The reimbursement equals 80% of health spending for claims between $15,000 and $90,000 total spending in a year.
You and your employees may benefit from this program. Employers can use these savings to either reduce their own health care costs, provide premium relief to these workers and their families, or a combination of both.
Please note that this is a temporary program; it is set to begin no later than June 30, 2010, and runs until January 1, 2014 - or until the $5 billion is spent, whichever comes first.
To determine if you and your employees could benefit from this program, you can begin by reviewing the draft application, along with instructions for completing it. The official application, with the address to which it should be submitted, will be posted later in June.
Applications will begin being accepted no later than June 30, 2010. More information will be posted as it becomes available on the U.S. Department of Health & Human Services website.
As always, the NGCOA will provide updates on how this program could benefit your facility as they are made available to us.
(Draft) Application for Review/Assessment