HB4175 Summary

• Establishes the Department of Insurance as the authority to operate the Illinois Health Benefits Exchange, replacing previous governance structure.

• Removes references to small employers (previously those with 50 or fewer employees) from the exchange, limiting its scope to individuals only.

• Authorizes the Director of Insurance to apply monthly assessments to health plans sold on the exchange at rates of 1% of premiums (for state-based exchange using federal platform) or 2.75% (for Illinois-operated exchange), with authority to adjust up to 4% maximum if necessary.

• Requires the Director of Insurance to establish an advisory committee of at least 9 members, including three ex officio state directors and six public members with expertise in health insurance, consumer advocacy, or related fields.

• Grants the Department of Insurance authority to coordinate exchange operations with the State Medicaid program and FamilyCare Program for eligibility determination, and requires rulemaking to implement the law.

• Effective January 1, 2023.