Illinois set to create state run insurance marketplace, rate review

Illinois set to create state run insurance marketplace, rate review

Illinois is set to run it’s own insurance marketplace to counter soaring costs of health plans sold on the federal Affordable Care Act marketplace.

On Tuesday, Governor JB Pritzker signed into law health care priorities backed by democrats, including a new state-based marketplace and rate review.

Illinois residents currently access the federal health care marketplace using a federal platform that the state pays a fee to use it. Under this new law Illinois will transition to a new state platform set to go live in 2026.

The governor says the marketplace will cover Illinois residents should federal health care policy change.

“If Joe Biden were to lose reelection to a Republican then people nationally would lose their health care coverage or lose access to that federal exchange, but they won’t lose access to the Illinois exchange,” Gov. Pritzker said.

The rate review law, the governor says, is intended to shield consumers and small businesses from premium rate hikes by requiring insurers provide information about how they set their rates.

The signing comes as Governor Pritzker takes heat for his decision to cut an immigrant health care program. Beginning July 1, enrollment for Illinois immigrants ages 42 to 64 residing in the United States without legal permission closes.

Last week, progressive groups and doctors spoke out.

“Care that is delayed or denied or unrecognized leads to higher costs,” one primary care physician said.

“I would like to provide health care for everybody in the United States, I believe in universal health care,” Pritzker said. “We’re making progress and I want to make even more progress. We always have to do it within the limits of our budget and the revenue that is coming it. 

Pritzker is capping spending on this program that he put into place three years ago, putting him at odds with some immigrant groups.