Following years of sabotage and hostility directed towards the Affordable Care Act (ACA), Governor Walker and the legislature pivoted to pass a $200 million reinsurance program, which is expected to slightly lower premiums for those relatively few people who earn too much to qualify for premium tax credits that help defray the costs of purchasing a health insurance plan on the federal ACA Marketplace.
Reinsurance is a concept where insurance companies are reimbursed for paying the health care costs of people who require very expensive care. By helping to insulate insurance companies against the financial risk of having to cover very expensive care, they can offer lower rates for everyone. However, the plan does not require savings to be passed on to consumers, does not address soaring costs of deductibles, or address other health care costs borne by patients and their families. This new law is anticipated to provide a little help in the form of small cost reductions to some consumers, but will not undo the damage caused by Republicans’ efforts to sabotage the Affordable Care Act, which has led to increases in premiums and fewer choices for the people insured through the ACA.
What Wisconsinites need to know about Walker’s $200 million Reinsurance Plan:
Please comment and tell Governor Walker to include consumer protections to his healthcare stability plans by mandating that savings are passed on to consumers and funding for his plan shouldn’t come from our state’s Medicaid budget. Comments are due by April 14, 2018 and can be submitted electronically to OCI1332WaiverComments@wisconsin.gov.
Cecely Castillo, Policy Director