The ACA imposed an annual assessment on health insurers, including dental and vision insurers. This health insurance industry fee and other fees contained in the ACA legislation are designed to help support cost-generating portions of the legislation like the individual insurance marketplace, state exchanges and health care research.
The ACA fee is allocated among insurers in proportion to their premiums for the preceding year and other factors. Congress put a moratorium on the ACA fee for calendar year 2017, and it is uncertain whether the fee will continue to be imposed in future years. The ACA fee is not a tax deductible expense, which increases the cost of doing business from the perspective of health insurers.