How a reinsurance program in Virginia can help lower costs for small businesses
Virginia legislators are considering a bill that would implement a reinsurance program to help address healthcare costs across the state. Reinsurance programs use federal and state funds to help health insurers provide coverage to the highest-cost consumers, allowing them to keep premiums lower for everyone else. Enacting a state reinsurance program in Virginia is estimated to lower premium costs by up to 20%. This would make coverage more accessible and is an important step toward lowering healthcare costs, especially for the state’s small business owners who already struggle to access affordable coverage.
Reinsurance also will help to stabilize the individual marketplace, where many small business owners, employees and the self-employed purchase health insurance. Small businesses continue to face an uphill battle to recover from the economic impacts of the ongoing COVID-19 crisis, and they need elected officials to enact policies that would help reduce the costs associated with health insurance coverage. Implementing a reinsurance program in Virginia would do just that.
If you agree, we encourage you to contact your state elected official today and ask them to support HB 2332 to enact a reinsurance program in Virginia. You can quickly find your legislator by entering your address using this form, and then select "email" under their name.
If you have any questions about reinsurance in Virginia or need help contacting your state legislator, please contact Government Affairs Manager Awesta Sarkash at [email protected].