Chaney warns Mississippi faces big bill
Insurance commissioner signals state may absorb $250 million federal mandate cost
Mississippi's insurance commissioner told lawmakers he is likely to decide that the state, not insurance companies, should bear the cost of a new federal ground-ambulance billing mandate.
Speaking to the Legislature's Insurance Committee on Oct. 27, Mike Chaney said the federal government introduced a rule effective Jan. 1, 2028, requiring that costs of the unfunded mandate "have to be paid or by state, or insurance companies," with the choice left to elected commissioners. "I probably I will decide that the state is responsible for this, pay," he told the committee, adding that "for us it is unfunded mandate for 250 millions of dollars."
He said the decision ultimately rests with him as an elected official under the federal rule.
The announcement, made during a routine committee hearing, concerns a sum large enough to affect taxpayers or policyholders statewide depending on how it is resolved. Had insurers been made responsible instead, the cost would likely have been passed on through higher premiums. No further details on the mandate's implementation or timeline were presented at the hearing.