Montana Individual Health Reinsurance
Welcome to the
Montana Reinsurance Association
and Program Website
In April 2019, Montana enacted the Montana Reinsurance Association Act establishing the Montana Reinsurance Association and Program to:
• Stabilize the individual health insurance market by partially reimbursing insurers for high-cost claims;
• Maintain competition; and
• Reduce premiums.
The Montana Reinsurance Association Act is codified in the Montana Insurance Code, Title 33, chapter 22, part 13, Montana Code Annotated.
The reinsurance program will reimburse health insurance exchange insurers for certain high-cost claims in the individual health insurance market using a mix of federal pass-through funding and association member assessments. Under the law, individual health insurers will be reimbursed for a proportion (coinsurance rate) of the cost of certain high-cost claimants between a minimum lower bound (attachment point) and a maximum upper bound (reinsurance cap).
The Montana Reinsurance Program is administered by the Montana Commissioner of Securities and Insurance (“CSI”) and a five-person Board of Directors of the Montana Reinsurance Association (“MRA”).
Senate Bill 125 (66th Montana legislative session) established the Montana Reinsurance Association and Program. The bill was enacted in law on April 30, 2019, and authorized the State of Montana to apply for a State Innovation Waiver and federal pass-through funding under section 1332 of the Patient Protection and Affordable Care Act (PAACA).
On June 19, 2019, the State of Montana applied for a State Innovation Waiver and on August 16, 2019, the federal government approved Montana’s waiver application for the period January 1, 2020, through December 31, 2024.
Please see the Links page on this website for helpful links to information, including the Montana reinsurance statutes.