MS HB1561

Reduces insurance premium tax rates for foreign and domestic insurance companies providing health insurance through Patient Protection and Affordable Care Act exchanges in Mississippi, effective July 1, 2014.

Sets tiered tax rates for exchange-based health policies: 2% on the first $100 million in premiums, 2.5% on the next $150 million, and 2.75% on premiums exceeding $250 million (compared to the standard 3% rate).

Applies reduced rates only to companies delivering health insurance policies through state exchanges, federally-facilitated exchanges, or partnership exchanges in all Mississippi counties.

Maintains the standard 3% premium tax rate for non-exchange health insurance and all other insurance products for both foreign and domestic companies.

Preserves existing exemptions for State Employees Life and Health Insurance Plan carriers and retirement/deferred compensation plan policies.