Affordable Care Act State Innovation Waiver; Public Hearings for Transparency and Community Input in Alaska

Transparency and community input are important aspects of any state’s development process for seeking an Affordable Care Act (ACA) State Innovation Waiver.

Alaska is utilizing the flexibility afforded to states through the 1332 process to stabilize the individual health insurance market. Premiums in the Alaska individual health insurance market have increased substantially since the onset of the ACA. Alaska has been faced with escalating healthcare costs from the utilization of services by individuals with high cost health conditions,  a small population spread across a vast geographic area, and insufficient health care provider competition. 

For 2017, initial rate information indicated that premiums in the individual health insurance market were projected to increase 42%. The state took action, and passed legislation creating the Alaska Reinsurance Program (ARP). The legislature also appropriated $55 million to fund the program in 2017. As a result of state action, premiums in the individual health insurance market will increase approximately 7% in 2017. Actuarial analysis prepared for the Alaska Division of Insurance estimates the Alaska Reinsurance Program will save the Federal government $51.6 million in Advanced Premium Tax Credits (APTCs) for 2018, and increase enrollment in the individual market by nearly 1,650 relative to what APTCs and enrollment would be absent the ARP.

Alaska’s 1332 waiver application seeks federal funding under section 36B of the Internal Revenue Code. Under the proposed waiver, Alaska would receive federal pass-through funding to subsidize the Alaska Reinsurance Program, based on savings that would be generated as a result of a reduction in APTCs absent the reinsurance program. The State would appropriate the remaining amount of funds necessary to ensure the ARP is fully funded, after adjusting for medical inflation. The State Innovation Waiver would be effective January 1, 2018 for an initial period of five years, with an option to renew for an additional five years.

Alaska is fulfilling the public notice requirements by holding the following public hearings:

December 16, 2016 1:00p.m. -3:00 p.m.
Atwood Building, 1st Floor, Room 102, located at 550 West 7th Avenue, Anchorage, Alaska, 99501

December 19, 2016 10:00 a.m. -12:00 p.m.
State Office Building, 9th Floor, Conference Room A South, located at 333 Willoughby Avenue, Juneau, Alaska 99801

The hearings may be extended to accommodate those present before 12:00 p.m. who did not have an opportunity to comment. If you are unable to attend a hearing in person and would like to participate by teleconference, please call 1-800-315-6338 and enter access code 42070 followed by # (pound sign).

You may submit oral or written comments on the proposed waiver at the hearings. You also may comment on the proposed waiver by submitting written comments to the Division of Insurance. All comments must be received no later than 5:00 p. m., December 23, 2016 at the address, fax or email below.

Division of Insurance
Attn: Sarah Bailey
P.O. Box 110805
Juneau, AK 99811-0805
Fax 907-465-3422


Individuals or groups of people with disabilities, who require special accommodations, auxiliary aids or service, or alternative communication formats in order to participate in the process may contact Laura Watson at  or (907)-465-2597, or call TDD at (907) 465-5437 no later than December 15, 2016 to ensure any necessary accommodations can be provided.

DATE: November 22, 2016


                                                                                    Lori Wing-Heier


Attachments, History, Details

Revision History

Created 11/22/2016 5:54:19 PM by cwagoner
Modified 11/23/2016 11:54:47 AM by cwagoner
Modified 11/23/2016 1:16:00 PM by cwagoner
Modified 11/29/2016 8:31:29 AM by hcfogus
Modified 11/29/2016 8:34:26 AM by hcfogus
Modified 11/29/2016 8:35:22 AM by hcfogus
Modified 12/1/2016 8:59:08 AM by hcfogus
Modified 12/5/2016 4:26:49 PM by hcfogus
Modified 12/6/2016 3:42:02 PM by hcfogus
Modified 12/8/2016 10:36:52 AM by hcfogus
Modified 12/15/2016 9:45:24 AM by hcfogus
Modified 12/15/2016 2:47:34 PM by hcfogus
Modified 12/16/2016 8:23:04 AM by hcfogus
Modified 12/20/2016 9:06:26 AM by hcfogus
Modified 12/22/2016 8:44:00 AM by hcfogus
Modified 12/23/2016 2:53:47 PM by hcfogus
Modified 12/30/2016 12:48:50 PM by hcfogus


Department: Commerce, Community and Economic Development
Category: Public Notices
Location(s): Statewide
Project/Regulation #:
Publish Date: 11/22/2016
Archive Date: 1/1/2017