New analysis from the Employee Benefit Research Institute shows the $5 billion allocated for a temporary reinsurance program for early retiree health benefits will likely run out two years before the program's 2014 end date.
Under the Early Retiree Reinsurance Program, beginning June 1, companies can receive an 80 percent reimbursement on claims incurred by early retirees and dependents between $15,000 and $90,000 over the course of a year. Eligible claims include medical, prescription drug and behavioral health. The ERRP will last until Jan. 1, 2014, or until the $5 billion set aside for the program is exhausted.
According to the U.S. Department of Health and Human Services, the program – included within The Patient Protection and Affordable Care Act – is supposed to help bridge the gap to 2014, when Americans will be able to choose from additional coverage options through the health insurance exchanges.
Recommended For You
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more information visit Asset & Logo Licensing.
