Wednesday, May 5, 2010

HC Reform Update by Mark Sanna: The White House announced Tuesday that it would help pay medical bills for early retirees who have health insurance provided by their former employers. The purpose of the temporary $5 billion program, authorized by the new health care law, is to reverse the erosion of employer-sponsored insurance. Under the program, the federal government can reimburse employers for 80% of the cost of claims from $15,000 to $90,000 a year for a retired worker who is 55 or older and not eligible for Medicare. The program will run from June 1 of this year to Jan. 1, 2014, when many early retirees, like millions of other Americans, will be able to enroll in health plans offered through new state-based markets known as insurance exchanges.

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