Reinsurance for health plans that cover early retirees: The law provided $5 billion for reinsurance payments for health benefit claims of retirees age 55 and older who are not yet eligible for Medicare, and for their eligible spouses, including surviving spouses, and dependents. The amount of the reimbursement to the employer or union is 80 percent of an individual’s medical claims costs above $15,000 and below $90,000. Approved employers and unions can use these funds to provide premium relief and other health care cost relief to their retirees and workers and their families, to offset increases in their own.
