New York's Privately Insured Pay More Than $4.2 Billion in Taxes and Fees on Health Insurance

ALBANY, NY (04/28/2009)(readMedia)-- The New York State Conference of Blue Cross and Blue Shield Plans (NYSCOP) has issued a new version of the report titled, "The Facts About Taxes on New York's Privately Insured."

According to the report, New Yorkers with private health coverage pay more than $4.2 billion in state health-care taxes. This number includes the recently enacted 2009-10 State Budget, which levied more than $700 million in additional taxes and fees.

What does this mean for the average New Yorker? In looking at just the recent tax increases, HMO family coverage premiums for small businesses in the Albany region have increased more than $360 per year. A similar business in New York City will pay $700 more per year.

The report highlights four state taxes, which directly affect the cost of your premium. They are:

  • Premium taxes on those who receive health coverage from commercial insurers: $357.2 million.
  • Assessments on for-profit and not-for-profit insurers, as well as health maintenance organizations: $273.4 million.
  • A 9.63 percent tax on hospital and other health care services: $2.445 billion.
  • A tax on health plans for each covered life that they insure, known as the Covered Lives Assessment: $1.16 billion.

To view the latest version on this report, please visit www.nysblues.org and go to the Fact Sheet section.

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