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April 15, 2015 at 01:19 PM
A big Patient Protection and Affordable Care Act (PPACA) insurer support program may fall far short of its 2014 revenue target.
PPACA calls for the program, the PPACA reinsurance program, to collect $12 billion in issuer payments for 2014.
Officials at the Center for Consumer Information & Insurance Oversight (CCIIO) say in a memo that the reinsurance program has received just $8.7 billion in payments, or 28 percent less than the amount set by the statute.
Coverage issuers have scheduled another $1 billion in payments to come in by the end of the year.
If the program ends 2015 with $9.7 billion in issuer payments, the program would have 19 percent less funding than expected.
The final total could be less than $9.7 billion, because some issuers have had trouble with counting covered lives, and, in some cases, issuers may still be able to ask for refunds, CCIIO officials say.
This is one of the first times CCIIO has posted data on actual PPACA program revenue.
See also: GAO: We can’t verify most CCIIO financial reports
CCIIO is an arm of the Centers for Medicare & Medicaid Services (CMS), which is, in turn, part of the U.S. Department of Health and Human Services (HHS). HHS created CCIIO to handle the PPACA provisions and programs that affect the commercial health insurance market.
