On Tuesday, May 4, the U.S. Department of Health and Human Services issued regulations establishing the Early Retiree Reinsurance Program in the Affordable Care Act. This temporary program will make it easier for employers to provide coverage to early retirees.
The Affordable Care Act includes $5 billion in financial assistance for employers to assist in maintaining coverage for early retirees age 55 and older who are not yet eligible for Medicare. The program will end in 2014, when Americans will be able to choose from additional coverage options through the health insurance exchanges.
Eligible employers can apply for the program through the Department of Health and Human Services. Applications will be available by the end of June. Both self-funded and insured plans can apply, including plans sponsored by private entities, state and local governments, nonprofits, religious entities, unions, and other employers.
Federal Register: http://www.hhs.gov/ociio/regulations/gate.pdf |
