Health Care Law Blog
The 2010 health reform act, the Patient Protection and Affordable Care Act ("PPACA"), provides for the creation of health insurance "exchanges." Exchanges are programs designed to make it easier for eligible consumers and small businesses to compare and purchase health insurance coverage in a one-stop shopping format. An Exchange is essentially a set of state regulated and standardized private health care plans, from which individuals may purchase health insurance that is eligible for federal subsidies. States choosing to create Exchanges are required to have them up and running by 2014.
The Centers for Medicare and Medicaid Services ("CMS") announced that it will no longer accepting applications for its Early Retiree Reinsurance Program. Based upon the applications that CMS has accepted and the rate at which the available $5 Billion is being disbursed, the government projects that it will use up the full allotted $5 Billion which has been set aside to fund this temporary program.
Applications were first accepted on June 29, 2010 and the government is cutting off any further applications May 5, 2011.