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Health Insurance Stability Fund and Grace Period Changes

This act establishes a $2.5 billion annual fund for 2022-2024 to help states stabilize their health insurance markets. States can use these funds to lower insurance costs, support high-risk individuals, promote access to preventive, dental, vision, maternity, and newborn care, as well as mental health and substance use disorder treatments. Additionally, the act modifies health insurance grace period rules to align with state laws.
Key points
States will receive funds to lower health insurance costs and support individuals with high medical expenses.
Funds can be used to assist with insurance access, reduce premiums, and promote preventive, dental, vision, maternity care, and addiction treatment.
The grace period for non-payment of health insurance premiums will now align with state law, rather than a fixed 3-month period.
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Additional Information
Premium Relief Act of 2021
Print number: HR 689
Sponsor: Rep. Burgess, Michael C. [R-TX-26]
Process start date: 2021-02-02