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| Reinsurance: How States Can Make Health Coverage More Affordable for Employers and Workers (PDF) The Commonwealth Fund  July 27, 2005 30 pages. Excerpt: State-government-provided reinsurance -- essentially, insurance for insurance companies -- can relieve health insurers of the risk of 'adverse selection' (disproportionate enrollments of individuals with extraordinarily high medical costs), particularly in the small groupand individual markets. With such programs in place, insurers may significantly lower premiums, thereby making health coverage affordable for more people. |
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