As we have previously announced, the Oregon State Legislature passed House Bill 2116. HB 2116 establishes a 1 percent assessment on health insurance premiums to provide health coverage for 80,000 children and 75,000 low-income adults. This bill was amended to reduce the initially proposed assessment of 1.5 percent to only 1 percent.

Because of HB 2116, medical insurance carriers will be required to pay a 1 percent assessment based on the gross amount of premiums collected by the insurer during each calendar quarter effective October 1, 2009, through September 30, 2013. This bill allows insurers to include the 1 percent assessment in their rates beginning October 1, 2009.

The decision to add an additional 1 percent assessment on medical insurance premiums was NOT made by the OEBB Board. This assessment is being applied by the legislature to all health insurance plans throughout Oregon, not just OEBB carriers.

The new rates will be posted soon. Please continue to check back for details.

If you have questions for OEBB, please call (888) 4My-OEBB (888-469-6322) or e-mail oebb.info@state.or.us.

Thank you.