September 29, 2017

 


 

In This Issue
Fast Facts
BREAKING NEWS: HHS Secretary Tom Price Resigns
Senate Scraps Vote on Graham-Cassidy Bill to Repeal and Replace the ACA
Register Now for the “Live from NAHU” Webinar on October 12 with NAHU CEO Janet Trautwein
President Trump Expected to Release Executive Order on Selling Insurance across State Lines
NAHU to Continue Advocacy for Employer Sponsored Insurance as the “Big Six” Release Tax Plan
Senators Introduce Legislation to Extend One-Year HIT Moratorium
Senate Unanimously Passes Chronic Care Bill with NAHU-Supported Value-Based Insurance Design Measures
Congress to Delay CHIP Reauthorization beyond Tomorrow’s Funding Deadline
What’s Next for Health Reform? Listen to this Week’s Podcast to Find Out!
Register Now for October’s Compliance Corner Webinar: Fuzzy on ERISA Required Disclosures?
HUPAC Roundup
What We’re Reading
Tools
E-mail the Editor
Visit the NAHU Website
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Senators Introduce Legislation to Extend One-Year HIT Moratorium

On Tuesday, Senator Cory Gardner (R-CO) introduced S. 1859, legislation to extend the current one-year moratorium of the Health Insurance Tax (HIT) through calendar-year 2018. NAHU, along with the Stop the HIT coalition, has long advocated for permanent repeal of this tax, or short of that, to provide for a temporary delay of the tax until a more comprehensive solution can be implemented. In recent weeks, we have been urging Congress to include a full repeal or further delay of the tax with any market-stability legislation, emphasizing the impact that the HIT will have on Americans, with an additional $500 added to average premiums per affected family every year, and more than half of the tax paid for by those earning between $10,000 and $50,000. NAHU was a leading advocate for the initial one-year moratorium for the 2017 plan year that was signed into law by President Obama in December 2015.

The tax, dubbed a fee, assesses a tax on all health insurance companies of insured plans both inside and outside the exchange based on their “net premiums” written. While it is charged to insurers to help pay for the ACA, it is ultimately passed down in the form of increased premiums for small businesses, middle-income families, seniors and young workers. Over a 10-year period, this tax is projected to increase premiums for single coverage by an average of $2,150 and family coverage by an average of $5,080.

There has been longstanding bipartisan support for relief from the HIT, with nearly 400 bipartisan members of Congress supporting the one-year moratorium in 2015. Previous legislation in the 114th Congress had the official backing of 236 members of the House, more than half of the chamber, and the Senate companion bill was co-sponsored by 39 senators. Earlier this year, Representatives Kristi Noem (R-SD) and Kyrsten Sinema (D-AZ) introduced H.R. 246, along with 81 co-sponsors to permanently repeal the tax.

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