State Reinsurance Program

During the 2018 legislative session, the Maryland General Assembly passed House Bill 1795 – Establishment of a State Reinsurance Program. Gov. Larry Hogan signed House Bill 1795 on April 5, 2018.

House Bill 1795, as an emergency measure, directs the Maryland Health Benefit Exchange to submit a State Innovation Waiver to the U.S. Secretaries of Health and Human Services and the Treasury to establish a State Reinsurance Program. The purpose of the State Reinsurance Program is to mitigate the premium impact of high cost enrollees on carriers that participate in the individual market. The State Reinsurance Program will reduce rates from what they would have been without the program, creating premium relief for Marylanders who have experienced high rate increases on their health insurance premiums.

House Bill 1795 also requires the Maryland Health Benefit Exchange to adopt regulations implementing the State Reinsurance Program. These regulations must take effect by Jan. 1, 2019. As part of the regulatory process, the Maryland Health Benefit Exchange will host a series of hearings to engage with the public to discuss the scope, design, and goals of these regulations. The Maryland Health Benefit Exchange staff will consider all comments and feedback we receive as we strive to provide accessible, affordable health coverage to Marylanders.

SUBMITTED APPLICATION:
Please see the submitted application at the link below:
Final Maryland 1332 State Innovation Waiver to Establish a State Reinsurance Program – May 31 2018

Maryland 1332 State Innovation Waiver to Establish a State Reinsurance Program UPDATED August 15, 2018

Please see the analysis performed by Wakely Consulting Group on the interaction between the Reinsurance and Risk Adjustment programs below:
Wakely Consulting Group Analysis on Reinsurance / Risk Adjustment Interaction – Draft

PUBLIC COMMENT AND HEARINGS:

The Maryland Health Benefit Exchange will host four public hearings. Dates, times and locations follow.

1. July 26, 2-4 p.m.

Location: Maryland Health Benefit Exchange, 750 E. Pratt St., Baltimore, MD 21202.

Participant Dial-in Number: (833) 640-6816, Meeting Number: 5877647

2. Aug. 2, 2- 4 p.m.
Location: Maryland Health Benefit Exchange, 750 E. Pratt St., Baltimore, MD 21202.
Participant Dial-in Number: (833) 640-6816, Meeting Number: 2454605

3. Aug. 9, 1-3 p.m.
Location: Maryland Department of  Transportation, 7201 Corporate Center Drive, Hanover, MD 21076.
Participant Dial-in Number: (833) 640-6816, Meeting Number: 5675147

4. Aug. 16, 2-4 p.m.
Location: Maryland Health Benefit Exchange, 750 E. Pratt St., Baltimore, MD 21202.
Participant Dial-in Number: (833) 640-6816, Meeting Number: 9285299

Agenda and Schedule for State Reinsurance Program Public Hearings

In addition to the above public hearings, MHBE invites the public to submit comments to mhbe.publiccomments@maryland.gov. The public comment period will close on September 10, 2018.

RESOURCES:

Enacting Legislation:
HB 1795 – Establishment of a State Reinsurance Program
SB 387 – Maryland Health Access Act of 2018

Authorizing Resolution:
MHBE Board Resolution on the State Reinsurance Program and Submission of a State Innovation Waiver Application – April 16, 2018
Section 1332 Waiver -Public Comment – Board Presentation – May 21, 2018
Resolution 1332 State Innovation Waiver Application – May 21, 2018

MORE INFO:

1332 State Innovation Waiver