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Affordable Care Act | 12 Months Ended
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Dec. 31, 2018
Affordable Care Act [Abstract] |
Affordable Care Act | Affordable Care Act The Affordable Care Act (ACA) established risk spreading premium stabilization programs effective January 1, 2014. These programs, commonly referred to as the “three Rs,” include a permanent risk adjustment program, a transitional reinsurance program, and a temporary risk corridor program. Additionally, the ACA established a minimum annual MLR and cost sharing reductions. Each of the three R programs are taken into consideration to determine if the Company’s estimated annual medical costs are less than the minimum loss ratio and require an adjustment to premium revenues to meet the minimum MLR. During 2018, the Company recognized a $79 million net pre-tax benefit related to the reconciliation of the 2017 risk adjustment program, compared to a $48 million net pre-tax benefit in 2017 related to the reconciliation of the 2016 risk adjustment and reinsurance programs. The Company's receivables (payables) for each of these programs are as follows ($ in millions):
| December 31, 2018 |  | December 31, 2017
Risk adjustment | $ | (928 | ) |  | $ | (677 | )
Reinsurance | 1 |  |  | 15 |
Risk corridor | 4 |  |  | 6 |
Minimum MLR | (265 | ) |  | (22 | )
Cost sharing reductions | (50 | ) |  | (96 | )

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