NJBIA Statement on Passage of

Health Insurance Tax Legislation

NJBIA Chief Government Affairs Officer Chrissy Buteas issued the following statement on today’s passage of bill S-2676/A-4389, which levies a 2.5% tax on health insurance plans, increasing costs for businesses and nonprofits.

“While we acknowledge and appreciate several amendments made to this legislation, ultimately this bill represents yet another cost to business at the worst possible time.

“New Jersey has seen its GDP contract more than the national average. Our unemployment is now the second highest in the nation. And many businesses that will be impacted by this new tax have already been greatly compromised by months of closure or having had limited capacity in their reopening.

“Raising taxes does not make healthcare more affordable. It’s unfortunate that our policymakers continue to seek ways to inflict financial pain on New Jersey employers as they struggle during these unprecedented challenges.”