|What is the Transitional Reinsurance Fee?|
The Patient Protection and Affordable Care Act (PPACA) enacted a new Transitional Reinsurance Fee that is to be made on behalf of each individual or member that is part of a healthcare insurance policy. This fee is designed to cover high-risk individuals in the health insurance market and stabilize the effects of the costly expenditures. This fee will remain in place until 2016. For group or employer benefits plans, this 2015 fee is equal to $44 for each policy member. Groups must submit the number of policy members to the Department of Health and Human Services by November 15th and the HHS will send an invoice to the group within the next 30 days. Employers can pay these fees in two installments. To quantify the number of individuals in a group health plan, this number is based on membership within the first nine months of that benefit year.
In respect to handling the transitional reinsurance fee, All Savers is pleased to file this fee on your behalf. Providence Insurance Group has attached a form below that will help cover your Transitional Reinsurance Fee with UHC’s Alternate Funding medical plan. Please indicate by signing the attached letter where indicated, and return it to our attention to the listed address by September 1st, 2015. If you have already missed the deadline, then you can reapply for this the subsequent benefit year in 2016.
United HealthCare Services, Inc.
PO Box 19032
Green Bay, WI 54307-9032
Please sign the notice found here
Providence Insurance Group