Department of Health and Human Services, Patient Protection and Affordable Care Act; Standards Related to Reinsurance, Risk Corridors and Risk Adjustment
GAO-12-596R: Apr 5, 2012
GAO reviewed the Department of Health and Human Services, (HHS) new rule on the Patient Protection and Affordable Care Act; standards related to reinsurance, risk corridors and risk adjustment. GAO found that (1) the final rule implements standards for states related to reinsurance and risk adjustment, and for health insurance issuers related to reinsurance, risk corridors, and risk adjustment consistent with title I of the Patient Protection and Affordable Care Act as amended by the Health Care and Education Reconciliation Act of 2010. These programs will mitigate the impact of potential adverse selection and stabilize premiums in the individual and small group markets as insurance reforms and the Affordable Insurance Exchanges are implemented, starting in 2014; and (2) HHS complied with the applicable requirements in promulgating the rule.