HLS 21RS-332 ORIGINAL
2021 Regular Session
HOUSE BILL NO. 463
BY REPRESENTATIVE ILLG
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
INSURANCE/HEALTH: Authorizes the establishment of a state-based health insurance
exchange and assessments thereto
1 AN ACT
2To amend and reenact R.S. 22:2471 and to enact R.S. 22:1090.1, relative to authorizing the
3 establishment of a state-based health insurance exchange; to authorize the
4 commissioner of insurance to apply for a state innovation waiver relative to
5 implementing the state-based health insurance exchange; to provide a certain
6 assessment for funding; and to provide for related matters.
7Be it enacted by the Legislature of Louisiana:
8 Section 1. R.S. 22:2471 is hereby amended and reenacted and R.S. 22:1090.1 is
9hereby enacted to read as follows:
10 §1090.1. Assessment for state-based health insurance exchange
11 A. In addition to all other taxes and assessments, each insurer offering any
12 health insurance coverage through an exchange established by the state of Louisiana
13 pursuant to 42 U.S.C. 18031 or other provision of federal law shall, on July first of
14 each year and by July thirtieth of each year, be assessed by and transmit to the
15 commissioner of insurance a sum not to exceed two percent of the amount of
16 premiums received in this state by the insurer for such health insurance coverage
17 during the preceding year ending December thirty-first.
18 B. On or before March first of each year, each insurer shall file with the
19 commissioner, on a form prescribed and provided by the commissioner, information
20 requested by the commissioner to determine the total premiums received by each
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 21RS-332 ORIGINAL
HB NO. 463
1 insurer subject to this Section during the preceding calendar year and to calculate the
2 basis of the July first assessment.
3 C. The commissioner shall provide notice of the annual assessment
4 percentage amount for each calendar year to the Louisiana Register to be published
5 no later than July first of each year.
6 D. The commissioner shall establish the annual assessment percentage
7 amount based on the estimated operational, administrative, contractual, and other
8 costs of operating the state-based health insurance exchange. In determining the
9 costs of operating the state-based health insurance exchange, the commissioner shall
10 deduct any unexpended funds from prior assessments or other appropriations.
11 * * *
12 §2471. Authority of the commissioner
13 A. The commissioner may apply on behalf of the state of Louisiana for a
14 state innovation waiver pursuant to Section 1332 of Public Law 111-148, 42 U.S.C.
15 18052, and to establish and implement a reinsurance program administered pursuant
16 to the state innovation waiver either or both of the following:
17 (1) A reinsurance program.
18 (2) A state-based health insurance exchange.
19 B. No reinsurance program authorized by this Section shall be created until
20 the application for a state innovation waiver is approved by the appropriate
21 departments or agencies of the federal government.
22 C. The commissioner may create and implement a state-based health
23 insurance exchange directly or through contracted services and with or without the
24 waiver provided for in Subsection A of this Section. Such exchange shall be funded
25 through the proceeds of the assessment provided for in R.S. 22:1090.1.
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HB NO. 463
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 463 Original 2021 Regular Session Illg
Abstract: Authorizes a state-based health insurance exchange and fee assessments payable
by insurers.
Proposed law authorizes the commissioner of insurance to assess a fee from insurers offering
health insurance coverage through a La.-based health insurance exchange. Requires the
assessment from insurers not to exceed 2% of the amount of premiums received by the
insurers during the previous calendar year. Further provides for the fee to be assessed by
and made payable to the commissioner annually between July 1 and July 30.
Proposed law requires each insurer to file with the commissioner, on a form prescribed and
provided by the commissioner, information requested to determine the total premiums
received by each insurer in the preceding calendar year and to calculate the assessment.
Further requires the insurer to file the prescribed form annually by March 1.
Proposed law requires the commissioner to provide notice of the annual assessment
percentage amount for each calendar year to the Louisiana Register to be published annually
no later than July 1.
Proposed law requires the commissioner to establish the annual assessment percentage
amount based on the estimated operational, administrative, contractual, and other costs of
operating the state-based health insurance exchange. Further requires the commissioner to
deduct any unexpended funds from prior assessments or other appropriations in his
determination of costs to operate the state-based health insurance exchange.
Present law authorizes the commissioner to apply for a state innovation waiver to establish
and implement a reinsurance program.
Proposed law expands present law to authorize application for a state innovation waiver to
establish a state-based health insurance exchange. Otherwise retains present law.
Proposed law authorizes the commissioner to create and implement a state-based health
insurance exchange directly or through contracted services and with or without the state
innovation waiver provided for in proposed law.
Proposed law requires funding for the state-based health insurance exchange through the
proceeds of insurers' assessments provided for in proposed law.
(Amends R.S. 22:2471; Adds R.S. 22:1090.1)
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.