Small business, family farms, and those reliant on the individual health insurance market will appreciate this week’s vote in the Minnesota Senate. The Senate extended Minnesota’s critical Reinsurance program for three more years. The reform, which was first implemented in 2017, will ensure that rates in the individual market remain stable without any additional cost to taxpayers.

“Over the past two years, Reinsurance has stabilized and lowered health insurance premiums for many Minnesotan families, individuals and small business owners who purchase insurance on the individual market,” said Senator Mark Johnson (R-East Grand Forks). “You compare that to projections without the program, and it is scary, especially for rural Minnesota.”

“Extending the reinsurance program will hold together the individual health insurance market, but the task remains to drive down the cost of care and increase options,” continued Senator Johnson.

The original $542 million for operations was offset by federal funding and the federal dollars will continue through 2022 with this extension. Because of the success of Minnesota’s model, several other states implementing similar models