Eligible Health Carrier Information

An Eligible Health Carrier is:

  • an insurance company licensed under chapter 60A to offer, sell, or issue a policy of accident and sickness insurance as defined in section 62A.01
  • a nonprofit health service plan corporation operand under chapter 62C; or
  • a health maintenance organization operating under chapter 62D; that offer individual health plans and incur claims costs for individual enrollee’s covered in a benefit year.

The attachment point is the threshold amount for claims costs incurred by an eligible health carrier for an enrolled individual’s covered benefits in a specific benefit year, beyond which the claims costs for benefits are eligible for reinsurance payments.

Payment Parameters for 2018
The Minnesota Premium Security Plan payment parameters for benefit year 2018 are:

• an attachment point of $50,000;
• a coinsurance rate of 80 percent; and
• a reinsurance cap of $250,000.

The MCHA board of directors may alter payments to the extent necessary to secure federal approval of the State Innovation Waiver request.

For each applicable benefit year, MCHA must notify an eligible health carrier of reinsurance payments to be made for the applicable benefit year no later than June 30th of the year following the applicable benefit year.

By August 15th of the year following the applicable benefit year, MCHA must disburse all applicable reinsurance payments to an eligible health carrier.

For MCHA reports, click here.