Connecticut Senate Bill SB00325

Connecticut 2019 Regular Session

• Introduced: 1/23/19
• Refer: 1/23/19

Caption

An Act Requiring This State To Apply For A State Innovation Waiver To Establish A Reinsurance Pool.

Impact

Should SB00325 be enacted, it could have significant implications for state healthcare policies and the insurance marketplace. By establishing a reinsurance pool, the state aims to support insurance providers in managing costs associated with high-risk individuals, likely leading to reduced premiums for consumers. This could also encourage more insurance companies to participate in the state's insurance marketplace, thereby increasing consumer choices and potentially improving healthcare coverage options across the board.

Summary

SB00325 is a legislative proposal aimed at requiring the state to apply for a federal state innovation waiver, specifically under 42 USC 18052. The intention behind the bill is to grant the state permission to establish a reinsurance pool which would function to stabilize the individual health insurance market. This reinsurance pool would ideally help lower premiums for consumers by mitigating the risk that health insurers face when covering high-cost individuals. By doing so, the bill seeks to enhance the affordability and accessibility of health insurance plans within the state.

Contention

There may be contention surrounding the funding and implementation of the proposed reinsurance pool. Critics might raise concerns about the adequacy of using federal funds or the extent of the state's commitment to maintain such a program. Additionally, discussions around the bill could reflect differing views on government involvement in healthcare and the regulation of health insurance markets. Some legislators may argue that the bill could lead to increased state dependency on federal funds, while others may see it as a necessary step to improve public health outcomes and market stability.