Section 1 Short title
This Act may be cited as the “CO-OP Consumer Protection Act of 2016”.
CO-OP Consumer Protection Act of 2016
A BILL
To amend the Internal Revenue Code of 1986 to exempt individuals whose health plans under the Consumer Operated and Oriented Plan program have been terminated from the individual mandate penalty.
Sec. 2 Exemption of participants in terminated plans under Consumer Operated and Oriented Plan program
In general— Subsection (e) of section 5000A of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:
“(6) Participants in certain terminated Consumer Operated and Oriented Plan program plans—Any applicable individual, if—
“(A) the individual was enrolled in a qualified health plan offered by a qualified nonprofit health insurance issuer (as defined in subsection (c) of section 1322 of the Patient Protection and Affordable Care Act) receiving funds through the Consumer Operated and Oriented Plan program established under such section for such plan, and
“(B) during any month while the individual was so enrolled, such issuer terminated or otherwise discontinued providing all plans of the issuer in the area in which the individual resides,”
Effective date— The amendment made by this section shall apply to months in taxable years beginning after December 31, 2013.