Michigan Compiled Laws, Chapter 550. General Insurance Laws § 550.1733a




Sec. 3a.  (1) A carrier that is required to file rates or file for approval rates with the commissioner is not required to file rates in order to collect the assessment levied under this act from an individual or group.  The collected amount shall not be considered an element or factor of a rate.

(2) A carrier or third party administrator shall develop and implement a methodology by which it will collect the assessment levied under this act from an individual, employer, or group health plan, subject to all of the following:

(a) Any methodology shall be applied uniformly within a line of business.

(b) Except as provided in subdivision (d), health status or claims experience of an individual or group shall not be an element or factor of any methodology to collect the assessment from that individual or group.

(c) The amount collected from individuals and groups with insured coverage shall be determined as a percentage of premium.

(d) The amount collected from groups with uninsured or self-funded coverage shall be determined as a percentage of actual paid claims.

(e) The amount collected shall reflect only the assessment levied under this act, and shall not include any additional amounts such as related administrative expenses.

(f) A carrier shall notify the commissioner of the methodology used for the collection of the assessment levied under this act.





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