Massachusetts S644 proposes to redirect excessive health insurer reserves to support health care needs.

Massachusetts S644 aims to redirect excessive health insurer reserves to support health care needs. The bill mandates health insurers to pay an assessment on their unpaid liabilities at a rate not exceeding 18% annually, with late fees up to 5% per month. The Division of Insurance will establish the assessment mechanism, which may include interest. The bill requires the division to transfer $150 million to the Behavioral Health Trust Fund and $150 million to the COVID-19 Public Health Emergency Hospital Relief Trust Fund. The assessment mechanism will sunset on December 31, 2025.

Massachusetts S644 proposes to redirect excessive health insurer reserves to support health care needs.

Massachusetts S644 aims to redirect excessive health insurer reserves to support health care needs. The bill mandates health insurers to pay an assessment on their unpaid liabilities at a rate not exceeding 18% annually, with late fees up to 5% per month. The Division of Insurance will establish the assessment mechanism, which may include interest. The bill requires the division to transfer $150 million to the Behavioral Health Trust Fund and $150 million to the COVID-19 Public Health Emergency Hospital Relief Trust Fund. The assessment mechanism will sunset on December 31, 2025.