Overview
When the Affordable Care Act (ACA) was enacted, the transitional reinsurance program was created to assist in stabilizing health premiums in the healthcare marketplace. To fund the program, insurers and employers with self-funded health plans are required to make contributions to the program from 2014 to 2016.
Filing Deadline and Fees
For the 2016 fee of $27 per plan enrollee, the filing deadline is Tuesday, November 15, 2016. You can pay the reinsurance fee in one or two installments. If you are paying in one installment, $27 per 2016 plan enrollee is due January 17, 2017. If you are paying in two installments, $21.60 per 2016 plan enrollee is due January 17, 2017. The remaining $5.40 per 2016 plan enrollee is due November 15, 2017.
Employer Action Item
Self-funded employers must use the 2016 ACA Transitional Reinsurance Program Annual Enrollment and Contributions Submission Form (link to form) located on www.pay.gov to submit the 2016 enrollment count. This form will auto-calculate the contribution amount owed based on the $27 per 2016 plan enrollee.
Reminder
Self-funded employers who chose to pay the 2015 contribution in two installments, the second payment of $11 per 2015 plan enrollee is due November 15, 2016.
