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VA SB1011

VA SB1011
Health insurance; tobacco surcharge.


summary

Introduced
01/06/2023
In Committee
02/16/2023
Crossed Over
01/19/2023
Passed
02/24/2023
Dead
Signed/Enacted/Adopted
03/27/2023

Introduced Session

2023 Regular Session

Bill Summary

Health insurance; tobacco surcharge. Eliminates the authority of a health carrier to vary its premium rates based on tobacco use. Under current law, a health carrier may charge premium rates up to 1.5 times higher for a tobacco user than for a nonuser. The provisions of the bill apply to health benefit plans providing individual or small group health insurance coverage entered into, amended, extended, or renewed on or after January 1, 2024. The bill directs the State Corporation Commission to submit an annual report summarizing the reductions in premiums related to the elimination of the tobacco surcharge. The provisions of the bill expire on January 1, 2026.

AI Summary

This bill eliminates the authority of health insurance carriers to charge higher premium rates for tobacco users, a practice known as a "tobacco surcharge." Currently, carriers can charge up to 1.5 times more for tobacco users compared to non-users. The bill applies to individual and small group health plans entered into, amended, extended, or renewed on or after January 1, 2024. The State Corporation Commission is directed to report annually on the premium reductions resulting from the elimination of the tobacco surcharge, as well as the percentage of new enrollees in high tobacco-use localities. The provisions of the bill will expire on January 1, 2026.

Committee Categories

Business and Industry

Sponsors (1)

Last Action

Governor: Acts of Assembly Chapter text (CHAP0683) (on 03/27/2023)

bill text


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