ROCKEFELLER SAYS INSURANCE COMPANIES WILL PAY BACK MORE THAN $1 BILLION TO CONSUMERS AND BUSINESSES
Federal Information & News Dispatch, Inc. |
"It's now clear that the minimum medical loss ratio law has been a huge win for consumers," said Rockefeller. "Millions of American consumers and businesses will receive more than
The savings come from the minimum medical loss ratio provision - also known as the "80/20 rule" - and is considered one of the most important consumer protections in the 2010 health care reform law. The law encourages health insurance companies to spend a larger portion of their customers' premium dollars on care by requiring companies to pay rebates if they spend less than 80% of their premium dollars on health care services. The law's rebate provisions went into effect on
Over the past month, health insurance companies have been submitting their mandatory financial filings with state insurance regulators. A preliminary review of these filings released today by the
In addition to these rebates, the 80/20 rule has delivered savings to millions more American consumers through lower premiums. As the Kaiser report notes, the 80/20 rule "provided an incentive for insurers to seek lower premium increases than they would have otherwise, and in some cases premiums have decreased." In
Read this original document at: http://www.rockefeller.senate.gov/public/index.cfm/press-releases?ID=752649a9-ecb3-4a8f-83dc-53d957ebd6b2
Copyright: | (c) 2010 Federal Information & News Dispatch, Inc. |
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