On Tuesday, Republican U.S. Sen. Susan Collins of Maine introduced a bill to create a federal reinsurance program that she says will help stabilize the individual health insurance market.
Speaking on the Senate floor, Collins cited recent health committee hearings in which insurance commissioners from several states suggested that Congress consider reinsurance as an option. Her bill would allocate federal money for states to establish the programs that help cover high-cost claims.
“Beyond providing cost sharing reduction funding, there is no step that would be more powerful in stabilizing markets and reducing premiums than providing reinsurance,” she said.
Collins is co-sponsoring the bill with Democratic U.S. Sen. Bill Nelson of Florida.
