Medical Mutual of Ohio (MMO) released yesterday an updated Healthcare Reform notice regarding federal taxes and fees. This new “suite” is being assessed on health plan sponsors in 2014 based on stipulations outlined in the Affordable Care Act (ACA).

Taxes and Fees

The Patient-Centered Outcomes Research Institute (PCORI) Fee

Currently $0.16 for each covered member and each dependent, this fee will increase to $0.18 for each in 2014. MMO will continue to separately disclose this charge to fully insured groups only. Self-insured groups must pay this fee directly to the government using IRS Form 720.

Beginning January 2014, other federal fees will be imposed. MMO expects them to be in the following ranges:

  • Reinsurance fee, approximately $5.25 per member per month
  • Market share fee, between 2 percent and 3 percent of the monthly premium


Reinsurance Fee
MMO will assess and collect the reinsurance fee across all medical lines of business for all fully insured plans and self-funded groups; excluded coverage includes stop loss, dental, vision and Medicare Supplement.

Market Share Fee
MMO will assess the market share fee on all fully insured lines of business, including dental and vision, with the exception of Medicare Supplement policies. Stop-loss applicability is to be determined.

Contact your Stellar Representative with further questions regarding this notice.