This bill establishes a premium subsidy program administered by MNsure to assist eligible individuals in paying for health insurance coverage in the individual market, effective January 1, 2026. It introduces new definitions related to the program, including "eligible individual," "gross premium," "net premium," and "premium subsidy," with the subsidy amounting to 20% of the monthly gross premium for eligible individuals purchasing individual health plans. The bill mandates health carriers to provide these subsidies and outlines the reimbursement process from MNsure, including invoicing and compliance requirements. Additionally, it provides for the sunset of the Minnesota premium security plan, repealing several sections of the Minnesota Statutes related to it, and amends section 62E.23 to establish a new timeline for reinsurance payments through December 31, 2025.

The bill also outlines the responsibilities of health carriers participating in the Minnesota premium security plan, requiring them to provide necessary documents for verification and auditing. It allows for an appeals procedure and mandates that carriers respond to audit findings with a corrective action plan. Furthermore, the bill establishes the premium security plan account within the state treasury for operational costs and reinsurance payments, requiring detailed accounting records and regular reporting to ensure transparency. It also subjects the Minnesota premium security plan to audits by the legislative auditor and mandates annual audits by an independent CPA, addressing any compliance deficiencies.

Statutes affected:
Introduction: 62E.23
1st Engrossment: 62E.23
2nd Engrossment: 62E.23