Arizona is an Effective Rate Review State
The federal Department of Health and Human Services (“HHS”), Center for Consumer Information and Insurance Oversight (“CCIIO”), determined that Arizona is an Effective Rate Review (“ERR) state, based on the ERR requirements in the Affordable Care Act. Arizona became an ERR state in the individual major medical health insurance market, effective January 1, 2013, and in the small group market, effective January 1, 2014.
The Arizona Department of Insurance (“ADOI”) applied for and received three HHS Rate Review Grants. Consequently, federal money pays for 100% of Arizona’s individual and small group ERR programs. The original award for the Cycle I Rate Review Grant (Funding Opportunity Number RFA-FD-10-999) was $1,000,000; Cycle II Rate Review Grant (Funding Opportunity Number PRPPR130040-01-02) was $2,000,000; and Cycle IV Rate Review Grant (Funding Opportunity Number PRPPR140068-01-00) was $1,079,000.
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