Walker: Private market insurance rates to drop 4.2 percent
MADISON, Wis. (AP) — Gov. Scott Walker says health insurance rates for plans sold in the private market under the Affordable Care Act will drop next year by more than 4 percent.
The reduction is attributed to a new reinsurance program Walker signed into law this year that takes effect in 2019. It’s a $200 million program that’s part of Walker’s plan to lower health insurance costs in Wisconsin.
Walker on Thursday said the 4.2 percent reduction estimate was based on based on rate filings received by the Wisconsin Office of the Commissioner of Insurance and a report completed by Wakely Consulting Group.
Under the program, the government will provide money to health insurance providers to pay about 50 percent of medical claims costing between $50,000 and $200,000 starting next year.