Virginia Health Benefit Exchange; created. (SB732)

Introduced By

Sen. Jennifer McClellan (D-Richmond) with support from co-patrons Sen. John Edwards (D-Roanoke), and Sen. Emmett Hanger (R-Mount Solon)


Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law


Virginia Health Benefit Exchange. Creates the Virginia Health Benefit Exchange, which will be established and operated by a new division within the State Corporation Commission (SCC). The Exchange shall facilitate the purchase and sale of qualified health plans and qualified dental plans to qualified individuals and qualified employers. The Exchange shall make qualified plans available to qualified individuals and qualified employers by July 1, 2023, unless the SCC postpones this date. The measure authorizes the SCC to review and approve accident and sickness insurance premium rates applicable to health benefit plans in the individual and small group markets and health benefit plans providing health insurance coverage in the individual market through certain non-employer group plans. The Exchange will be funded by an assessment on health insurers, which is limited to three percent of total monthly premiums, except the SCC may, after a public hearing, adjust the rate as necessary to ensure the Exchange is fully funded. A health plan will not be required to cover any state-mandated health benefit if federal law does not require it to be covered as part of the essential benefits package. The essential health benefits are items and services included in the benchmark health insurance plan, which is the largest plan in the largest product in the Commonwealth's small group market as supplemented in order to provide coverage for the items and services within the statutory essential health benefits categories. The SCC may contract with other eligible entities and enter into memoranda of understanding with other agencies of the Commonwealth to carry out any of the functions of the Exchange, including agreements with other states or federal agencies to perform joint administrative functions. Such contracts are not subject to the Virginia Public Procurement Act (§ 2.2-4300 et seq.). The measure repeals a provision enacted in 2013 that prohibits an agent, employee, officer, or agency of the Commonwealth from taking any action to establish a health benefit exchange. The measure requires the Department of Taxation to include on the appropriate individual tax return forms a checkoff box or similar mechanism for indicating whether the individual, or spouse in the case of a married taxpayer filing jointly, or any dependent of the individual (i) is an uninsured individual at the time the return is filed and (ii) voluntarily consents to the Department of Taxation providing the individual's tax information to the Department of Medical Assistance Services for purposes of affirming that the individual, the individual's spouse, or any dependent of the individual meets the income eligibility for medical assistance. Finally, the measure requires the Secretary of Health and Human Resources to convene a work group that includes representatives from the SCC, the Department of Medical Assistance Services, the Department of Social Services, and the Department of Taxation and a consumer advocate to develop systems, policies, and practices to leverage state income tax returns to facilitate the enrollment of eligible individuals in insurance affordability programs through the Virginia Health Benefit Exchange established in this measure. The Secretary shall report the work group's recommendations to the Governor and the General Assembly by September 15, 2020. This measure incorporates SB 226 and SB 598 and is identical to HB 1428. Read the Bill »


Bill Has Passed


01/07/2020Prefiled and ordered printed; offered 01/08/20 20105262D
01/07/2020Referred to Committee on Commerce and Labor
01/15/2020Assigned C&L sub: Health Insurance
01/16/2020Impact statement from SCC (SB732)
01/27/2020Reported from Commerce and Labor with substitute (12-Y 3-N) (see vote tally)
01/27/2020Incorporates SB226 (Edwards)
01/27/2020Incorporates SB598 (Hanger)
01/27/2020Committee substitute printed 20106587D-S1
01/27/2020Rereferred to Finance and Appropriations
02/04/2020Reported from Finance and Appropriations with substitute (15-Y 0-N 1-A) (see vote tally)
02/04/2020Committee substitute printed 20107470D-S2
02/05/2020Constitutional reading dispensed (40-Y 0-N) (see vote tally)
02/06/2020Read second time
02/06/2020Passed by temporarily
02/06/2020Committee substitute rejected 20106587D-S1
02/06/2020Reading of substitute waived
02/06/2020Committee substitute agreed to 20107470D-S2
02/06/2020Engrossed by Senate - committee substitute SB732S2
02/07/2020Read third time and passed Senate (29-Y 10-N) (see vote tally)
02/10/2020Impact statement from DPB (SB732S2)
02/13/2020Impact statement from SCC (SB732S1)
02/13/2020Impact statement from SCC (SB732S2)
02/18/2020Assigned App. sub: Health & Human Resources
02/18/2020Placed on Calendar
02/18/2020Read first time
02/18/2020Referred to Committee on Labor and Commerce
02/18/2020Reported from Labor and Commerce with substitute (12-Y 9-N) (see vote tally)
02/18/2020Committee substitute printed 20108554D-H1
02/18/2020Referred to Committee on Appropriations
02/21/2020Reported from Appropriations with substitute (14-Y 8-N) (see vote tally)
02/21/2020Committee substitute printed 20108786D-H2
02/25/2020Read second time
02/26/2020Engrossed by House - floor substitute SB732H1
02/26/2020Impact statement from SCC (SB732H2)
02/26/2020Floor substitute printed 20109134D-H3 (Sickles)
02/26/2020Impact statement from SCC (SB732H1)
02/26/2020House committee, floor amendments and substitutes offered
02/26/2020Read third time
02/26/2020Committee on Labor and Commerce substitute rejected 20108554D-H1
02/26/2020Committee on Appropriations substitute rejected 20108786D-H2
02/26/2020Substitute by Delegate Sickles agreed to 20109134D-H3
02/26/2020Engrossed by House - floor substitute SB732H3
02/26/2020Passed House with substitute (56-Y 44-N)
02/26/2020VOTE: Passage (56-Y 44-N) (see vote tally)
02/26/2020House substitute agreed to by Senate (23-Y 17-N) (see vote tally)
02/26/2020Title replaced 20109134D-H3
03/04/2020Impact statement from SCC (SB732H3)
03/04/2020Bill text as passed Senate and House (SB732ER)
03/05/2020Impact statement from SCC (SB732H2)
03/05/2020Impact statement from SCC (SB732H3)
03/05/2020Signed by President
03/06/2020Signed by Speaker
03/08/2020Impact statement from SCC (SB732ER)
03/12/2020Enrolled Bill Communicated to Governor on March 12, 2020
03/12/2020G Governor's Action Deadline 11:59 p.m., April 11, 2020
04/09/2020G Approved by Governor-Chapter 917 (effective 7/1/20)
04/09/2020G Acts of Assembly Chapter text (CHAP0917)