Under the Affordable Care Act, insurance companies (in the case of fully insured plans) and employers (in the case of self-insured plans) must pay an annual fee to help fund the Patient-Centered Outcomes Research Institute (PCORI). The PCORI fee is calculated by multiplying the average number of lives covered under the policy or plan by a dollar amount. The dollar amount is adjusted for inflation each year based on increases in the projected per capita amount of national health expenditures. The IRS has announced in Notice 2016-64 that the adjusted dollar amount is $2.26 for policy years and plan years that end on or after Oct. 1, 2016 and before Oct. 1, 2017. The prior dollar amount was $2.17.
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