VirginiaHB2202026 Regular SessionHouseWALLET

Health insurance; tobacco surcharge.

Sponsored By: Patrick A. Hope (Democratic)

Became Law

Summary

Health insurance; tobacco surcharge. Eliminates the authority of a health carrier to vary its premium rates based on tobacco use. Under current law, a health carrier may charge premium rates up to 1.5 times higher for a tobacco user than for a nonuser. The provisions of the bill apply to health benefit plans providing individual or small group health insurance coverage entered into, amended, extended, or renewed on or after January 1, 2027. This bill is identical to SB 630.

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 2 benefits, 0 costs, 1 mixed.

Stops big price gaps across markets

Beginning January 1, 2027, regulators cannot approve rates when the same provider network is priced 15% or more apart between the individual and small‑group markets and the carrier used different methods to set those area rates. This blocks shifting costs between the two markets through methodology differences.

Premiums limited to four capped factors

Beginning January 1, 2027, insurers can set premiums only by four things: individual vs. family coverage, rating area, age, and tobacco use. Adult age differences are capped at 3 to 1. Tobacco surcharges are capped at 1.5 to 1. For family plans, the premium is split by each covered member. This narrows price differences and removes other personal rating factors, so some people may pay more while others pay less.

Public checks on high local premiums

Beginning January 1, 2027, if a proposed area rate is over 15% above a carrier’s market average, the insurer must file public, unredacted methods and data, and the Commission must hold a public hearing before approval. If an approved filing has any area rate more than 25% above the market average, the insurer must post public quarterly reports within 45 days after each quarter. Reports must show enrollment, premiums, allowed and incurred claims (with and without risk adjustment), loss ratios, and claim shares for large health systems.

Sponsors & Cosponsors

Sponsor

  • Patrick A. Hope

    Democratic • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 205 • No: 17

Senate vote 2/26/2026

Passed Senate Block Vote

Yes: 40 • No: 0

Senate vote 2/25/2026

Constitutional reading dispensed Block Vote (on 2nd reading)

Yes: 40 • No: 0

Senate vote 2/25/2026

Passed by for the day Block Vote (Voice Vote)

Yes: 0 • No: 0

Senate vote 2/23/2026

Reported from Commerce and Labor

Yes: 14 • No: 0

House vote 1/28/2026

Read third time and passed House

Yes: 81 • No: 16

House vote 1/22/2026

Reported from Labor and Commerce

Yes: 21 • No: 1

House vote 1/20/2026

Subcommittee recommends reporting

Yes: 9 • No: 0 • Other: 1

Actions Timeline

  1. Acts of Assembly Chapter text (CHAP0034)

    3/31/2026Governor
  2. Approved by Governor-Chapter 34 (effective 7/1/2026)

    3/31/2026Governor
  3. Governor's Action Deadline 11:59 p.m., April 13, 2026

    3/10/2026Governor
  4. Enrolled Bill communicated to Governor on March 10, 2026

    3/10/2026House
  5. Fiscal Impact Statement from State Corporation Commission (HB220)

    3/5/2026House
  6. Bill text as passed House and Senate (HB220ER)

    3/3/2026House
  7. Enrolled

    3/3/2026House
  8. Signed by President

    3/3/2026Senate
  9. Signed by Speaker

    3/3/2026House
  10. Passed Senate Block Vote (40-Y 0-N 0-A)

    2/26/2026Senate
  11. Read third time

    2/26/2026Senate
  12. Passed by for the day Block Vote (Voice Vote)

    2/25/2026Senate
  13. Constitutional reading dispensed Block Vote (on 2nd reading) (40-Y 0-N 0-A)

    2/25/2026Senate
  14. Rules suspended

    2/25/2026Senate
  15. Reported from Commerce and Labor (14-Y 0-N)

    2/23/2026Senate
  16. Fiscal Impact Statement from State Corporation Commission (HB220)

    2/8/2026House
  17. Referred to Committee on Commerce and Labor

    1/29/2026Senate
  18. Constitutional reading dispensed (on 1st reading)

    1/29/2026Senate
  19. Read third time and passed House (81-Y 16-N 0-A)

    1/28/2026House
  20. Read second time and engrossed

    1/27/2026House
  21. Read first time

    1/26/2026House
  22. Reported from Labor and Commerce (21-Y 1-N)

    1/22/2026House
  23. Subcommittee recommends reporting (9-Y 0-N)

    1/20/2026House
  24. Assigned HCL sub: Subcommittee #1

    1/15/2026House
  25. Referred to Committee on Labor and Commerce

    1/8/2026House

Bill Text

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