The American Rescue Plan Act of 2021 (ARPA) was enacted into law on March 11, 2021. The new law requires that we lower MinnesotaCare premiums for this year and next year. The changes include the following:

• People with household income less than 160% of the federal poverty guidelines (FPG) are eligible for MinnesotaCare without a monthly premium in 2021 and 2022.
• MinnesotaCare premiums are also lower for people who have household income of 160% FPG to 200% FPG in 2021 and 2022. The maximum monthly premium for MinnesotaCare coverage is $28 per person (see DHS-4139A).
• MinnesotaCare households that include a person who received unemployment compensation at any time in 2021 qualify for MinnesotaCare without a monthly premium in 2021.

The Minnesota Department of Human Services (DHS) will implement the changes to MinnesotaCare premiums in several phases. The first phase includes applying the new lower premium scale to ongoing MinnesotaCare premium billing. Enrollees will see the lower premium amounts on the invoices mailed beginning May 17, 2021, for July coverage. The May invoices will include a notice insert that explains this change.

People approved for MinnesotaCare on or after June 1, 2021, will have an initial premium under the new premium scale. People approved for MinnesotaCare before June 1 must pay the higher (pre-ARPA) premium they were billed to activate coverage for June.

DHS is working to implement the remaining phases, which include retroactively updating MinnesotaCare premiums that were billed for January through June 2021 coverage, activating coverage for people approved for MinnesotaCare with coverage pending awaiting payment who now have a $0 premium, and identifying households that include members who received unemployment compensation in 2021. DHS will issue a bulletin soon with more information.

People who have questions about their MinnesotaCare premiums may call Health Care Consumer Support at 651-297-3862 or 800-657-3672.