I just got a $100.13 credit on my pay check from Obamacare I didn't know about! (ERRP)

[Omaha Steve]

I have no idea this was coming. Is anybody up to speed on this for a quick explanation? The City of Omaha is self insured for healthcare. Since I pay for a portion of my insurance, I assume the reduced cost to the city is shared among those in the program.

http://www.gpo.gov/fdsys/pkg/FR-2012-03-21/pdf/2012-6728.pdf

The Patient Protection and Affordable
Care Act (Pub. L. 111–148, enacted on
March 23, 2010) (the Affordable Care
Act), included a provision that
established the temporary Early Retiree
Reinsurance Program (ERRP) which
provides reimbursement to eligible
sponsors of employment-based plans for
a portion of the costs of providing
health coverage to early retirees (and
eligible spouses, surviving spouses, and
dependents of such retirees), during the
period beginning on the date on which
the program is established, and ending
on January 1, 2014.


Consistent with section 1102(c)(4) of
the Affordable Care Act, the rule at 45
CFR 149.200 states:
A sponsor must use the proceeds under
this program to—(1) reduce the sponsor’s
health benefit premiums or health benefit
costs, (2) reduce health benefit premium
contributions, copayments, deductibles,
coinsurance, or other out-of-pocket costs, or
any combination of these costs, for plan
participants, or (3) reduce any combination
of the costs in (a)(1) and (a)(2) of this section.
Proceeds under this program must not be
used as general revenue for the sponsor.

[NYC_SKP]

1. That BASTARD MUSLIN USURPER OBAMA AND HIS EVIL OBAMACARE!!!!

[Ohio Joe]

2. No answer for you but... K&R for answers - nt

[notadmblnd]

3. could it be

that the insurance company didn't spend the required percentage on health care and this is a refund on the difference?

[unblock]

4. that's what it is i'm sure. they have to spend, i think it's 85% of premiums on health care.

or else return it to policy holders.

i hear a lot of people are getting these refunds, not me though....

[TexasBushwhacker]

6. That is correct, insurers for smaller companies and individuals have to spend 80% on services

Insurers for large companies have to spend 85% because they have less risk.

[jrobbi]

5. So your Obama check came in the mail today too, I got mine a week age ;-)

[Omaha Steve]

7. I'll know more about this tonight

I'll post the info tonight.

[Omaha Steve]

8. Here is the explanation

Here is the explanation.

NOTICE”

12/8/12 PPE



The City of Omaha participated in the Early Retiree Reinsurance Program (ERRP). The City agreed to designate 10% of the amount reimbursed from the ERRP against the plan participants’ health insurance contributions.



Therefore, you will see a credit on your payroll which equals 10% of the total health insurance premiums you have paid from January 2012 through November 2012.



Example:



$500.00 = Total health insurance premiums paid (January – November 2012)



$ 50.00 = Credit on December 8, 2012 payroll



The amount will be reflected on your 2012 December payroll as an ERRP credit (under Deduction column). The amount will show as a – (negative amount) a negative deduction is a credit.

[Ruby the Liberal]

10. Should have read the whole thread before replying.

[Ruby the Liberal]

9. Starting in August, refund checks were being mailed

to insurance customers whose company didn't pay out 80-85% (depending on client company size) of their premiums on health care related costs. Others saw lowered premiums for the next year's renewals rather than a rebate. If that is what this is (and you can tell on your check because it would be a line item offset to the YTD premiums paid), it sounds like your employer did a payroll credit as opposed to the check or premium lowering options.

If that is the case, you can expect this rebate annually once the tally is done for the year.

[democrattotheend]

11. Make sure to publicize this

A lot of people are up in arms about the $63 fee. It's important that this be publicized too.