Earlier today, the New Jersey Senate and Assembly passed legislation (S3270 / A5095) that limits small employers from offering stop loss insurance. In response to the passage of this bill, New Jersey Policy Perspective (NJPP) releases the following statement.

Raymond Castro, Health Policy Director, NJPP: 

“Stop loss policies are used to skirt requirements in the Affordable Care Act — including protections for preexisting conditions and essential benefits — and are one of the main reasons some small employers do not provide full coverage for their employees. This, in turn, leads to a decline in enrollment in the small group market, making insurance more costly for everyone else. By reining in stop loss policies, New Jersey can improve its health insurance market and encourage employers to offer more comprehensive coverage to their employees. This is a win for workers and inline with the state’s goal of ensuring all residents have comprehensive health care.”

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