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Bill > HR6518


US HR6518

US HR6518
Stop Health Premium Spikes Act of 2020


summary

Introduced
04/17/2020
In Committee
04/17/2020
Crossed Over
Passed
Dead
12/31/2020

Introduced Session

116th Congress

Bill Summary

To direct the Secretary of Health and Human Services to establish a program of risk corridors for health insurance issuers offering health insurance coverage in the individual or small group market for certain plan years. This bill establishes a temporary risk corridor program to reimburse health insurers for medical costs that are greater than expected. Specifically, the program requires the Department of Health and Human Services to pay insurers 75% of the cost of providing benefits under a plan that exceeds 105% of the total annual premiums for the plan, reduced by administrative expenses. The program applies to plan years 2020 and 2021.

AI Summary

This bill establishes a temporary risk corridor program to reimburse health insurers for medical costs that are greater than expected. Specifically, the program requires the Department of Health and Human Services (HHS) to pay insurers 75% of the cost of providing benefits under a plan that exceeds 105% of the total annual premiums for the plan, reduced by administrative expenses. The program applies to plan years 2020 and 2021. This is intended to help stabilize the individual and small group health insurance markets and prevent unexpected premium spikes during the COVID-19 pandemic.

Committee Categories

Business and Industry

Sponsors (5)

Last Action

Referred to the House Committee on Energy and Commerce. (on 04/17/2020)

bill text


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