Small Business Health Options Program (SHOP) FAQ
Guidance for FAQ regarding Premium Calculations and Tobacco Surcharge
Program Area: Small Business Health Options Program (SHOP)
Question: If a state does not allow tobacco use to be a rating factor, will issuers be able to use them in SHOP?
Answer: No. If a state does not allow for tobacco rating, then the issuer must follow state law and cannot establish rates based on tobacco use.
Issued by: Centers for Medicare & Medicaid Services (CMS)
Issue Date: March 10, 2014
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