Increases annual assessment on net written premiums of HMOs from five percent to six percent.

This bill increases the annual assessment rate on health maintenance organizations' (HMOs) premiums from 5% to 6% of their total collected premiums. It directly affects all HMOs operating in New Jersey, requiring them to pay an additional 1% on their premiums starting in Fiscal Year 2025. The extra revenue, estimated at $83 million annually, will be directed to the Health Care Subsidy Fund to support charity care payments for hospitals. The change applies immediately to assessments for Fiscal Year 2025 and future years.