This bill establishes an Uncompensated Health Care Fund in New Hampshire, to be administered by the Department of Insurance, aimed at supporting non-profit safety net health care providers that serve uninsured individuals and those on Medicaid. The fund will be financed through a surcharge on commercial insurers, reinsurers, and trusts managing self-insured plans. Key legal language inserted into current law includes the creation of a new section, RSA 400-A:39-c, which details the fund's establishment, assessment mechanisms, and the roles of an advisory committee responsible for recommending criteria for funding levels and allocation formulas. The bill also amends RSA 404-G to incorporate the assessment mechanism and defines "uncompensated health care fund." Importantly, the costs of the assessment cannot be passed on to consumers through increased premiums.

The bill introduces provisions for annual assessments related to "uncompensated care," defined as medically necessary care for uninsured individuals not eligible for government programs. Concerns have been raised regarding the ambiguous definition of "uncompensated care," which may inadvertently discourage insurance coverage and increase financial burdens on health insurers. The bill mandates that payors cannot pass assessment costs onto consumers, potentially reducing profit margins for health insurers and risking their exit from the New Hampshire market, which could worsen access to affordable insurance. To implement the bill, the Insurance Department anticipates needing to hire at least 12 additional staff, leading to increased expenditures estimated at $1.31 million in FY 2026, $1.633 million in FY 2027, and $1.70 million by FY 2028, alongside projected impacts on the state's tax base and health insurance market.

Statutes affected:
Introduced: 404-G:1, 404-G:2, 6:12