Ohio seeks to become the first state to receive a 1332 waiver of the individual mandate


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On March 30, 2018, the Ohio Department of Insurance (ODI) submitted the application for a waiver from the requirements of the Affordable Care Act’s individual mandate. If approved, Ohio would become the first state to receive a 1332 waiver of the individual mandate.

The tax bill passed by Congress in December 2017 eliminates the financial penalty that individuals who did not hold insurance had to pay under the Affordable Care Act, but the requirement to purchase insurance remains. Based on an actuarial analysis conducted by the Oliver Wyman firm, ODI says there will be no negative effects on Ohio’s insurance market if the waiver is granted. However, a majority of the comments received by ODI, including comments from the American Lung Association, expressed concern over the effects that the waiver could have on the insurance market in Ohio.

ODI is also expected to submit an application for a waiver from the employer mandate later this year.

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