Gov. Dayton Signs Federal Waiver for Minnesota’s Reinsurance Program

ST. PAUL, Minn., Oct. 17 -- Gov. Mark Dayton, D-Minn., issued the following news release:

Governor Mark Dayton today officially signed a federal waiver agreement to secure Minnesota's reinsurance program. The program has lowered 2018 health insurance premiums by an average of 20 percent for the 166,000 Minnesotans who purchase their coverage on the state's Individual Market, compared to what premiums would have been without reinsurance. Governor Dayton again urged the Trump Administration to continue full funding for MinnesotaCare, which provides over 100,000 working families in Minnesota access to quality, affordable health insurance.

The following is a statement from Governor Mark Dayton:

"Reinsurance has lowered 2018 health insurance premiums by an average 20 percent for Minnesotans, who buy their coverage on the Individual Market. To provide those lower rates to 166,000 Minnesotans, I have signed the federal waiver, which is required to operate Minnesota's reinsurance program. I thank the Legislators, who worked with my Administration to pass this bipartisan legislation, and I thank the federal officials who have worked with us to secure this waiver.

"I remain strongly opposed to the Trump Administration's proposed cuts to MinnesotaCare, which provides good quality and affordable health coverage to 100,000 Minnesotans. I assure everyone, who is now covered by MinnesotaCare, that we have sufficient funding to operate this program at its current levels through Calendar Year 2018. Their present health insurance will not be disrupted next year.

"I maintain my position that Minnesota is entitled to the federal Basic Health Plan funding, which the Trump Administration has proposed to cut; and I have not waived those rights by signing this waiver. My Administration will continue our bipartisan efforts with Minnesota's Congressional Delegation to retain full federal funding for MinnesotaCare, and to ensure the long-term sustainability of this vital program."

Final 2018 individual health insurance market rates were released by the Department of Commerce earlier this month, showing that reinsurance has helped to reduce premiums by approximately 20 percent from what they otherwise would be.

Minnesotans who purchase their health insurance on the Individual Market are encouraged to shop for coverage on MNsure, Minnesota's health insurance marketplace. MNsure is the only place Minnesotans can access cost-saving federal tax credits, which will save Minnesota families over $7,000 per year, on average, during the upcoming open enrollment period.