Insurance claims for state health care coverage

From the 2024 DOR Tax Exemption Study

82.04.4331 - Insurance claims for state health care coverage Description Insurance companies may take a B&O tax deduction for amounts paid on medical or dental claims for state employees incurred prior to July 1, 1990. Purpose To prevent placing commercial insurers at a competitive disadvantage in bidding for state contracts by providing commercial insurers with a deduction that was available to health care contractors and health maintenance organizations. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $0.000 $0.000 $0.000 $0.000 Local Taxes $0.000 $0.000 $0.000 $0.000 Repeal of Repealing this deduction would not increase revenues. The state now self-insures, exemption and no commercial insurer was selected to provide the uniform health plan for state employees. Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $0.000 $0.000 $0.000 Local Taxes $0.000 $0.000 $0.000 $0.000 Assumptions This deduction is no longer in use. Data Sources None Additional Additional Information Information Category: Tax base Year Enacted: 1988 Primary Beneficiaries: None Taxpayer Count: 0 Program Inconsistency: None ev