This bill proposes modifications to the insurance premium tax on health insurers in Minnesota. Key provisions include:

• Amendment to Minnesota Statutes 2024, Section 297I.01, Subdivision 6a: Clarifies the definition of "direct business" for insurance companies to include stop-loss insurance purchased in connection with self-insurance plans but excludes reinsurance and self-insurance. It also specifies that nonprofit health service corporations, health maintenance organizations (HMOs), and community integrated service networks are considered insurance companies for this purpose.

• Amendments to Other Tax-Related Provisions: The bill seeks to modify additional subdivisions of Minnesota's tax code relevant to health insurers, including Sections 297I.05, Subdivision 5, and 297I.20, Subdivision 1.

• Repeal of Certain Provisions: The bill repeals specific subdivisions of Section 297I.01 (Subdivisions 4, 10, and 11), potentially eliminating definitions or provisions deemed unnecessary or redundant.

If enacted, these changes may impact how health insurers are taxed, particularly regarding stop-loss policies used in self-insured employer healthcare plans.