HM 52

                                1  HOUSE MEMORIAL 52
                                2    57TH LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, 2026
                                3  INTRODUCED BY
                                4  Nicole Chavez
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                                10  A MEMORIAL
                                11   REQUESTING THE OFFICE OF SUPERINTENDENT OF INSURANCE, IN
                                12   CONSULTATION WITH THE HEALTH CARE AUTHORITY, TO CREATE A HEALTH
                                13   INSURANCE PREMIUM AFFORDABILITY STUDY GROUP.
                                14
                                15        WHEREAS, New Mexico's working families and small employers
                                16   depend on affordable and reliable health insurance coverage to
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                                17   support economic security, workforce participation and strong
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                                18   communities; and
                                19        WHEREAS, working families and small employers face unique
                                20   challenges regarding health benefits because they have less
                                21   purchasing power and fewer options to absorb premium increases
                                22   than larger employers; and
                                23        WHEREAS, national research surveying small business owners
                                24   has found that the cost of health insurance is a severe problem
                                25   for small business owners and is considered critical by
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                                1    approximately forty-one percent of respondents; and
                                2  WHEREAS, facing unaffordable increases, some small
                                3    employers have reduced benefits, delayed offering coverage or
                                4    been priced out of offering insurance altogether, making it
                                5    harder to recruit and retain employees; and
                                6  WHEREAS, premium affordability challenges are often most
                                7    directly felt by small employers and by individuals and
                                8    families purchasing coverage in the individual market; and
                                9  WHEREAS, New Mexico policymakers consider legislation that
                                10   may affect health coverage requirements and health insurance
                                11   affordability, including proposals that may change covered
                                12   benefits, cost-sharing requirements and premium levels; and
                                13        WHEREAS, legislators would benefit from improved tools and
                                14   data to evaluate the expected impacts of proposed statutory
                                15   changes on health insurance premiums, consumer out-of-pocket
                                16   costs, utilization and public costs; and
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                                17        WHEREAS, health insurance premiums for fully insured
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                                18   coverage may reflect not only health care claims costs and
                                19   administrative expenses but also state-imposed taxes, fees and
                                20   assessments; and
                                21        WHEREAS, New Mexico would benefit from a structured, data-
                                22   driven and bipartisan approach to studying premium cost drivers
                                23   and options to improve affordability for small employers and
                                24   working families;
                                25        NOW, THEREFORE, BE IT RESOLVED BY THE HOUSE OF
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                                1    REPRESENTATIVES OF THE STATE OF NEW MEXICO that the office of
                                2    superintendent of insurance, in consultation with the health
                                3    care authority, be requested to create a health insurance
                                4    premium affordability study group to study rising health
                                5    insurance premiums and cost drivers in New Mexico's fully
                                6    insured individual and insured group health insurance markets;
                                7    and
                                8  BE IT FURTHER RESOLVED that the office of superintendent
                                9    of insurance, in consultation with the health care authority,
                                10   be requested to direct that the study group be composed of a
                                11   diverse group of members representing stakeholders affected by
                                12   rising health insurance premiums and out-of-pocket costs in New
                                13   Mexico's fully insured individual and small group markets,
                                14   including:
                                15  A.   four members who represent the interests of
                                16   small employers and working families affected by rising
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                                17   premiums and out-of-pocket costs;
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                                18  B.   four members who represent the interests of the
                                19   business and employer community;
                                20  C.   four members who represent the health insurance
                                21   and health plan industry, including at least one licensed
                                22   health insurance agent or broker experienced in the fully
                                23   insured individual and small group markets;
                                24  D.   the superintendent of insurance or the
                                25   superintendent's designee; and
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                                1  E.   the chief executive officer of the New Mexico
                                2    health insurance exchange or the chief executive officer's
                                3    designee; and
                                4  BE IT FURTHER RESOLVED that the study group be requested
                                5    to conduct meetings and solicit input from additional
                                6    stakeholders and subject matter experts as determined necessary
                                7    by the study group, including health care providers, consumer
                                8    advocates, actuaries, economists and other experts in health
                                9    care finance and insurance markets; and
                                10        BE IT FURTHER RESOLVED that the study group be requested
                                11   to study, evaluate and make findings and recommendations
                                12   regarding:
                                13  A.   the primary drivers of premium changes in New
                                14   Mexico's fully insured individual and small group health
                                15   insurance markets, including trends in health care claims
                                16   costs, utilization, prescription drug costs, administrative
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                                17   expenses and other premium components;
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                                18  B.   the affordability impacts of rising premiums and
                                19   out-of-pocket costs on small employers and working families,
                                20   including impacts on the ability of small employers to offer
                                21   coverage and remain competitive in recruiting and retaining
                                22   employees;
                                23  C.   the extent to which state-imposed premium taxes,
                                24   fees and assessments applicable to fully insured health
                                25   insurance coverage affect premiums in the individual and small
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                                1    group markets, including comparisons with surrounding and peer
                                2    states;
                                3  D.   options to improve affordability and promote
                                4    market competitiveness while protecting access to quality
                                5    health care, including consideration of current benefit
                                6    mandates, coverage requirements and regulatory factors that may
                                7    contribute to premium growth;
                                8  E.   tools, best practices and processes, including a
                                9    structured, evidence-based framework, to assist legislators in
                                10   obtaining objective, data-driven estimates of the drivers that
                                11   may affect health insurance benefits, coverage requirements,
                                12   cost-sharing requirements or premiums; and
                                13  F.   recommendations for improving transparency for
                                14   small employers and consumers regarding premium cost drivers
                                15   and the expected impacts of statutory and regulatory changes;
                                16   and
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                                17  BE IT FURTHER RESOLVED that the study group be requested
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                                18   to submit a written report of its findings and recommendations
                                19   to the legislative finance committee and legislative health and
                                20   human services committee by October 1, 2026; and
                                21  BE IT FURTHER RESOLVED that copies of this memorial be
                                22   transmitted to the superintendent of insurance, the chief
                                23   executive officer of the New Mexico health insurance exchange,
                                24   the secretary of health care authority, the secretary of
                                25   health, the president pro tempore of the senate and the speaker
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