Iowa Senate sends health insurer tax increase to governor’s desk

By: Robin Opsahl

Outlets: Iowa Capital Dispatch

Published: March 24, 2026

Words: 1,148

Last Updated: 4 months, 1 week ago

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A bill seeking to address Iowa Medicaid’s budget shortfall through a retroactive tax increase on health maintenance organizations for the first nine months of 2026 has made it to Gov. Kim Reynolds’ desk as it passed the Iowa Senate Tuesday.

House File 2739, passed 26-19, would raise the tax rate on premiums for health maintenance organizations, or HMOs — certain Medicaid Advantage plans offered by private companies. The rate would rise from 0.925% to …

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