This bill creates a new section in chapter 48.43 RCW that requires the insurance commissioner to determine whether a nonprofit health carrier's surplus is "excessive" and, if so, to require a payment to the state. "Excessive surplus" is defined as the amount by which a carrier's surplus equals or exceeds 100 times the minimum net worth level in RCW 48.44.037(1)(a), using the carrier's annual statement for calendar year 2025. If the commissioner finds surplus excessive, the carrier must pay 10% of the excessive surplus to the commissioner's office for deposit into the state health care affordability account to fund the premium assistance program in RCW 43.71.110. The bill is a new statutory financial and administrative requirement (not a criminal provision). The commissioner must make determinations by October 1, 2026, carriers must pay within 90 days of a determination, and carriers may request an adjudicative hearing within 30 days to seek reduction of the required payment. Hearings are to be conducted under chapter 34.05 RCW, and the commissioner may reduce the payment only upon clear and compelling evidence that the payment would render the carrier financially impaired under applicable state law. The commissioner is authorized to adopt rules to implement the section. The text does not define who the "commissioner" is, which nonprofit health carriers are subject to the requirement, the numeric value of the referenced minimum net worth level, details of how surplus is calculated beyond reliance on the 2025 annual statement, or whether the determinations and payments are intended to be one-time or recurring in later years.

By October 1, 2026 the insurance regulator must review nonprofit health carriers' 2025 annual statements and identify any surplus that exceeds a very high threshold (100 times the minimum net worth level in state law). Carriers found to have an excessive surplus would likely face an immediate cash cost equal to 10% of that excess paid into the state health care affordability account within 90 days to help fund a premium assistance program. Carriers get a 30‑day window to request a hearing to try to reduce the payment, but reductions are limited to cases where the carrier can clearly show the payment would leave it financially impaired, so many carriers will need to budget for the payment or prepare substantial financial evidence to avoid it. The regulator takes on added responsibilities to calculate excesses, collect payments, run hearings, and adopt implementing rules, and the premium assistance program should see new funding if collections occur. Important details are missing here: the text does not identify which entities qualify as nonprofit health carriers, does not state the numeric minimum net worth level used in the threshold, does not spell out exactly how surplus is calculated beyond the 2025 annual statement reference, and does not say whether this is a one‑time 2025 assessment or will be repeated in later years.