Bill > HB4968

This bill amends the existing law regarding insurance provider assessments, specifically updating how annual taxes are calculated and collected from health insurance providers. The bill establishes three tiers of assessment based on the type of health plan and the source of funding: tier 1 covers Medicaid contracted health plans supported by federal funds, with a variable tax rate designed to meet federal statistical requirements; tier 2 covers health insurers not supported by federal funds at a flat rate of $2.40 per member month; and tier 3 covers specialty prepaid health plans supported by federal funds at $1.20 per member month. The bill provides flexibility for the Department of Health and Human Services to adjust the tax structure based on federal Centers for Medicare and Medicaid Services (CMS) waiver approvals, and establishes detailed reporting and payment requirements for insurance providers. The legislation also includes provisions for the Department of Insurance and Financial Services to suspend or revoke an insurance provider's operating license if they fail to pay assessments, and mandates an annual report detailing the revenue collected and administrative costs. The bill will only take effect if three specific House Bills are also enacted into law, and it is intended to provide a transparent and adaptable framework for assessing insurance providers.

Budget and Finance

https://legislature.mi.gov/Bills/Bill?ObjectName=2025-HB-4968