Tuesday, November 17, 2009
by Brett Narloch
This is an interesting idea…
A Bismarck state senator says North Dakota's insurance premium tax on nonprofit health insurance companies should be abolished.
Democrat Tracy Potter is drafting the proposal for the Legislature's interim Industry, Business and Labor Committee. He says it will give Blue Cross Blue Shield of North Dakota a chance to reduce its rates.
In North Dakota life insurance premiums are taxed at 2 percent. Health, property and other forms of insurance are taxed at 1.75 percent. Potter says his legislation will apply only to nonprofit health insurers.
According to the article, the tax cut would amount to a $7.5 million tax cut for the non-profit insurance companies in North Dakota. Because taxes are ultimately paid for by the consumer, customers of the companies would perhaps see a slight difference in their premiums.
Cutting taxes is always a good idea.
Eliminating taxes on companies will be passed through to consumers, which is why eliminating corporate income taxes altogether is a good idea.
