Territory Health Insurance Tax Relief Act of 2016

This bill amends the Patient Protection and Affordable Care Act to exclude premiums paid by residents of U.S. territories from a health insurer's net premiums when calculating the annual fee on the health insurer, thereby lowering the fee for health insurers that collect such premiums. These premiums are still included in total health premiums when calculating the annual fee on health insurers, thus the total amount collected annually from health insurers is reduced.