I 
109TH CONGRESS 
1ST SESSION H. R. 4086 
To amend the Internal Revenue Code of 1986 to provide a tax credit for 
health insurance costs of eligible disaster relief recipients. 
IN THE HOUSE OF REPRESENTATIVES 
OCTOBER 19, 2005 
Mr. JINDAL introduced the following bill; which was referred to the Committee 
on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to provide 
a tax credit for health insurance costs of eligible disaster 
relief recipients. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. CREDIT FOR HEALTH INSURANCE COSTS OF 
ELIGIBLE DISASTER RELIEF RECIPIENTS. 
(a) IN GENERAL.—Section 35 of the Internal Rev-
enue Code of 1986 (relating to health insurance costs of 
eligible individuals) is amended by adding at the end the 
following new subsection: 
‘‘(h) APPLICATION TO DISASTER VICTIMS.—
‘‘(1) IN GENERAL.—An eligible disaster relief 
recipient shall be treated as an eligible individual for 
purposes of this section and section 7527. 
‘‘(2) SPECIAL RULES.—In the case of an eligi-
ble disaster relief recipient, for purposes of this sec-
tion and section 7527— 
‘‘(A) 12 MONTH
LIMITATION.—Only the 
first 12 months that an individual is an eligible 
disaster relief recipient shall be treated as eligi-
ble coverage months. 
‘‘(B) QUALIFIED
HEALTH
INSURANCE.— 
Subject to subsection (e)(3), the term ‘qualified 
health insurance’ means— 
‘‘(i) any group or individual health in-
surance plan or policy under which the in-
dividual and any qualifying family mem-
bers taken into account under this section 
were covered during the 7-day period de-
scribed in paragraph (3) with respect to 
such eligible disaster relief recipient, and 
‘‘(ii) in the case of the subsequent 
non-renewal, cancellation, or termination 
(other than voluntarily by the individual), 
of any plan or policy described in clause 
(i), any successor or conversion plan or
policy offered by an insurer, a plan spon-
sor, or a State program, to the individual 
in accordance with any applicable provision 
of Federal or State law. 
‘‘(C) 
QUALIFIED
HEALTH
INSURANCE 
COSTS CREDIT ELIGIBILITY CERTIFICATE.—The 
statement described in section 7527(d) shall be 
treated as a qualified health insurance costs 
credit eligibility certificate only if certified by 
the Director of the Federal Emergency Man-
agement Agency (or by any other person or en-
tity designated by the Secretary). 
‘‘(3) ELIGIBLE DISASTER RELIEF RECIPIENT.— 
For purposes of this subsection, the term ‘eligible 
disaster relief recipient’ means any individual— 
‘‘(A) whose primary residence, business, or 
primary worksite was located in a qualified dis-
aster area, at any time during the 7-day period 
ending on the date that the President makes 
the determination described in paragraph (4) 
with respect to such area, or 
‘‘(B) whose employer conducted an active 
trade or business in a qualified disaster area 
during such period and, because of damage to
the employer caused by the disaster, subse-
quently terminated the individual’s employment. 
‘‘(4) QUALIFIED
DISASTER
AREA.—For pur-
poses of this subsection, the term ‘qualified disaster 
area’ means any area— 
‘‘(A) with respect to which a major dis-
aster has been declared by the President under 
section 401 of the Robert T. Stafford Disaster 
Relief and Emergency Assistance Act, and 
‘‘(B) which is determined by the President 
to warrant individual or individual and public 
assistance from the Federal Government under 
the such Act.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to taxable years ending on or after 
August 28, 2005. 
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