[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7861 Introduced in House (IH)]

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119th CONGRESS
  2d Session
                                H. R. 7861

 To amend title XXVII of the Public Health Service Act and the Patient 
Protection and Affordable Care Act to provide for certain reforms with 
 respect to medical loss ratios and reducing fraudulent enrollment in 
                        qualified health plans.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 9, 2026

  Mr. Barrett (for himself and Mr. Riley of New York) introduced the 
   following bill; which was referred to the Committee on Energy and 
                                Commerce

_______________________________________________________________________

                                 A BILL


 
 To amend title XXVII of the Public Health Service Act and the Patient 
Protection and Affordable Care Act to provide for certain reforms with 
 respect to medical loss ratios and reducing fraudulent enrollment in 
                        qualified health plans.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Care Over Profits Act of 2026''.

SEC. 2. INCREASING MEDICAL LOSS RATIO FOR HEALTH INSURANCE COVERAGE 
              OFFERED IN SMALL GROUP AND INDIVIDUAL MARKETS.

    (a) In General.--Section 2718(b)(1)(A)(ii) of the Public Health 
Service Act (42 U.S.C. 300gg-18(b)(1)(A)(ii)) is amended by striking 
``80'' each place it appears and inserting ``85''.
    (b) Effective Date.--The amendments made by this section shall 
apply with respect to plan years beginning on or after January 1, 2026.

SEC. 3. IMPOSING PENALTIES ON AGENTS AND BROKERS FOR CERTAIN VIOLATIONS 
              WITH RESPECT TO ENROLLMENT IN A QUALIFIED HEALTH PLAN 
              OFFERED THROUGH AN EXCHANGE.

    (a) In General.--Section 1411(h)(1) of the Patient Protection and 
Affordable Care Act (42 U.S.C. 18081(h)(1)) is amended--
            (1) in subparagraph (A)--
                    (A) by redesignating clause (ii) as clause (iv);
                    (B) in clause (i)--
                            (i) by striking ``If--'' and all that 
                        follows through ``such person'' and inserting 
                        ``If any person (other than an agent or broker) 
                        fails to provide correct information under 
                        subsection (b) and such failure is attributable 
                        to negligence or disregard of any rules or 
                        regulations of the Secretary, such person''; 
                        and
                            (ii) in the second sentence, by striking 
                        ``For purposes'' and inserting the following:
                            ``(iii) Definitions of negligence, 
                        disregard.--For purposes'';
                    (C) by inserting after clause (i) the following:
                            ``(ii) Civil penalties for certain 
                        violations by agents or brokers.--If any agent 
                        or broker fails to provide correct information 
                        under subsection (b), or other information as 
                        part of an application for enrollment in a 
                        qualified health plan offered through an 
                        Exchange, as specified by the Secretary, and 
                        such failure is attributable to negligence or 
                        disregard of any rules or regulations of the 
                        Secretary, such agent or broker shall be 
                        subject, in addition to any other penalties 
                        that may be prescribed by law, including 
                        subparagraph (C), to a civil penalty of not 
                        less than $10,000 and not more than $50,000 
                        with respect to each individual who is the 
                        subject of an application for which such 
                        incorrect information is provided.''; and
                    (D) in clause (iv) (as so redesignated), by 
                inserting ``or (ii)'' after ``clause (i)'';
            (2) in subparagraph (B)--
                    (A) by inserting ``including subparagraph (C),'' 
                after ``law,'';
                    (B) by striking ``Any person'' and inserting the 
                following:
                            ``(i) In general.--Any person''; and
                    (C) by adding at the end the following:
                            ``(ii) Civil penalties for knowing and 
                        willful violations by agents or brokers.--
                                    ``(I) In general.--Any agent or 
                                broker who knowingly and willfully 
                                provides false or fraudulent 
                                information under subsection (b), or 
                                other false or fraudulent information 
                                as part of an application for 
                                enrollment in a qualified health plan 
                                offered through an Exchange, as 
                                specified by the Secretary, shall be 
                                subject, in addition to any other 
                                penalties that may be prescribed by 
                                law, including subparagraph (C), to a 
                                civil monetary penalty of not more than 
                                $200,000 with respect to each 
                                individual who is the subject of an 
                                application for which such false or 
                                fraudulent information is provided.
                                    ``(II) Procedure.--The provisions 
                                of section 1128A of the Social Security 
                                Act (other than subsections (a) and (b) 
                                of such section) shall apply to a civil 
                                monetary penalty under subclause (I) in 
                                the same manner as such provisions 
                                apply to a penalty or proceeding under 
                                section 1128A of the Social Security 
                                Act.''; and
            (3) by adding at the end the following:
                    ``(C) Criminal penalties.--Any agent or broker who 
                knowingly and willfully provides false or fraudulent 
                information under subsection (b), or other false or 
                fraudulent information as part of an application for 
                enrollment in a qualified health plan offered through 
                an Exchange, as specified by the Secretary, shall be 
                fined under title 18, United States Code, imprisoned 
                for not more than 10 years, or both.''.
    (b) Effective Date.--The amendments made by this section shall 
apply with respect to applications for enrollment in a qualified health 
plan offered through an Exchange for plan years beginning on or after 
January 1, 2027.
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