New Pennsylvania Reinsurance Program

The Pennsylvania Insurance Department, in partnership with the Pennsylvania Health Insurance Exchange Authority, received authorization to operate a Reinsurance Program under section 1332 of the Affordable Care Act, also known as a State Relief and Empowerment waiver, from 2021 through 2025. The reinsurance program will reduce premiums for consumers on the marketplace by approximately 5-10 percent for plan year 2021 and increase affordability and access to quality coverage. Reinsurance programs provide a direct benefit to consumers by paying a portion of provider claims that would normally be paid by consumers through higher premiums.