On Wednesday, April 29, the Minnesota Senate approved the Omnibus Commerce Policy bill, Senate File 4188. During floor debate, Senator Gary Dahms (R – Redwood Falls), Republican lead of the Senate Commerce and Consumer Protection Committee, noted that the legislation does not include language to extend or fund Minnesota’s successful reinsurance program.

Minnesota’s reinsurance program helps lower health insurance costs in the individual market by offsetting a portion of high-cost claims. The authorization for reinsurance expires at the end of 2027. Therefore, Senator Dahms offered an amendment to permanently extend the program, but it was not adopted.

“Our statewide reinsurance program has significantly reduced health insurance costs for Minnesotans and has become a model for other states,” Senator Dahms said. “It keeps the individual market stable, which directly helps Minnesotans afford quality coverage.”

Reinsurance has been a long-standing tool in Minnesota to support affordability and market stability. Senator Dahms authored the original legislation creating Minnesota’s reinsurance program in 2017 and later championed a three-year extension in 2022. During the 2025 legislative session, Senator Dahms and Republican lawmakers secured a one-year extension of the program through fiscal year 2026.

“Reinsurance continues to play a critical role in keeping health care affordable. I am proud to have fought for it throughout my time in the Legislature, and I hope to see it continue serving Minnesotans well in the years to come,” Senator Dahms concluded.