Dayton proposes rebates to ease sting of rising health premiums

DFL Gov. Mark Dayton on Thursday proposed issuing rebates to an estimated 123,000 Minnesotans facing steep health insurance premium hikes but who make too much to qualify for federal tax credits.

Dayton said his primary objective is a fast solution that provides “immediate financial assistance to people” and costs no more than $313 million. That’s the amount of the state’s roughly $900 million biennial budget surplus that’s now earmarked for the so-called rainy-day fund. “If anyone has a better plan, which meets the above three objectives, we are all ears.”

Dayton’s proposal is the latest to emerge as political leaders react to rates changes announced in early October that will bring premium increases of more than 50 percent from the previous year. Legislative leaders from both parties are putting forward plans they say will address the developing crisis. About 5 percent of state residents purchase health insurance through the individual market.

http://www.startribune.com/dayton-proposes-rebates-to-ease-sting-of-rising-health-premiums/398934231/