New Jersey 2022-2023 Regular Session

New Jersey Assembly Bill ACR90

Introduced
2/7/22  

Caption

Proposes constitutional amendment dedicating certain assessments paid by mutual holding company to reduce health insurance premiums for the company's policyholders.

Impact

If enacted, the proposed amendment would modify Article VIII, Section II of the New Jersey Constitution to ensure that the revenue from the assessments paid by the mutual holding company is utilized specifically to decrease insurance premium costs for policyholders. This would represent a significant change in how assessment revenues can be appropriated, directing funds toward consumer benefits rather than leaving their use ambiguous. The constitutional amendment is expected to lower health coverage costs, providing financial relief to policyholders affected by the reorganization.

Summary

ACR90 is an Assembly Concurrent Resolution proposing a constitutional amendment in New Jersey that aims to mandate the allocation of certain assessments to reduce health insurance premiums for policyholders of a mutual holding company. The bill points to assessments that the health service corporation, specifically Horizon Blue Cross Blue Shield of New Jersey, is required to pay upon reorganization as a mutual holding company under existing law. Currently, there are no specified uses for the revenues generated from these assessments, which can total up to $650 million over a number of annual payments.

Contention

Despite the potential benefits of the amendment, there could be points of contention regarding the implications of directing such revenues towards premium reduction. Critics might argue this approach potentially limits the state’s ability to use funds generated from assessments for other pressing public health initiatives. Additionally, concerns surrounding the financial viability of the mutual holding company could also arise, as critics would want to ensure that the corporation can still operate effectively without jeopardizing its financial health post-reorganization. As the bill progresses, stakeholder discussions will likely focus on the balance between immediate consumer benefits and longer-term sustainability for health service providers.

Companion Bills

NJ SCR56

Same As Proposes constitutional amendment dedicating certain assessments paid by mutual holding company to reduce health insurance premiums for the company's policyholders.

Previously Filed As

NJ HB1616

Mutual Insurance Holding Companies - Conversion to Mutual Insurers

NJ SB982

Mutual Insurance Holding Companies - Conversion to Mutual Insurers

NJ SJR66

Proposing a constitutional amendment dedicating a portion of the revenue derived from state sales and use taxes and insurance premium taxes to the Texas water fund.

NJ SF0050

Insurance holding company regulations-amendments.

NJ HB1326

Mutual Insurance Companies; establish certain notice and proxy requirements.

NJ SB1417

An act to amend Sections 14300, 14303, and 14307 of, and to add Section 14303.5 to, the Corporations Code, relating to mutual water companies.

NJ A2155

Increases insurance premium tax credit for certain insurance companies to reduce retaliatory tax liability imposed by other states.

NJ HJR175

Proposing a constitutional amendment relating to the right to own, hold, and use a mutually agreed upon medium of exchange.

NJ SB426

Dissolving PEIA and converting to employer-owned mutual insurance company

NJ SJR55

Proposing a constitutional amendment relating to the right to own, hold, and use a mutually agreed upon medium of exchange.

Similar Bills

LA HB472

(Constitutional Amendment) Revises Article VII of the Constitution of La. (OR -$139,000,000 GF RV See Note)

NJ ACR123

Proposes temporary constitutional amendment allowing State constitutional convention convened to reform system of property taxation to propose statutory changes.

NJ SCR75

Proposes temporary constitutional amendment allowing State constitutional convention convened to reform system of property taxation to propose statutory changes.

NJ SCR43

Proposes constitutional amendment authorizing Legislature to invalidate certain court decisions.

LA HB244

(Constitutional Amendment) Provides for the election of constitutional convention delegates and vote requirements necessary for the adoption of a new constitution (RR SEE FISC NOTE GF EX)

LA HB678

(Constitutional Amendment) Modifies disposition of certain state revenues through repeal of the Revenue Stabilization Trust Fund and deposits of certain revenue streams into the Budget Stabilization Fund (RRF INCREASE GF RV See Note)

LA HB473

(Constitutional Amendment) Provides relative to the application of state monies to the unfunded accrued liability of the Teachers' Retirement System of La. (EN DECREASE SD RV See Note)

HI SB1225

Proposing An Amendment To Article Xvii, Section 3 Of The Hawaii Constitution To Specify That The Standard For Voter Approval Of A Constitutional Amendment Proposed By The Legislature Is A Majority Of All The Votes Tallied Upon The Question.