Early Retiree Reimbursement Application Available

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The Office of Management and Budget (OMB) has posted a draft of the Early Retiree Reinsurance Program (ERRP) Application as submitted for review by the Department of Health and Human Services (HHS). As described in Sutherland's May 11 Legal Alert, the ERRP is established under the Patient Protection and Affordable Care Act (PPACA) to permit sponsors of retiree medical plans to obtain government reimbursements for certain early retirees’ benefits. HHS issued an interim final rule implementing the ERRP on April 30, 2010, and the program became effective as of June 1, 2010.

In addition to the draft application, OMB has posted the draft ERRP application instructions and an HHS supporting statement for the draft application and instructions. A review of the package yields the following preliminary insights concerning the application process...

Please see full alert below for more information.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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