The Department of the Treasury and the Internal Revenue Service released new guidance that is “designed to expand the use of income annuities in 401(k) plans.”
April 27--Almost 32,000 people in Wisconsin covered by individual health insurance plans could receive an estimated $2.6 million, or $81.65 per person, in rebates this summer because of new regulations that require health insurers to spend 80% of premiums on medical care or quality initiatives.
The estimate is from an initial analysis of information given to state insurance departments done for the Kaiser Family Foundation.
J.P. Wieske, a spokesman for the Wisconsin Office of the Commissioner of Insurance, said the estimates don't include some adjustments that will be made in the calculations.
The new regulations, part of federal health care reform, require health insurers to spend at least 80% of premiums on medical care and quality initiatives for policies sold to individuals and to small employers.
Small employers -- those with fewer than 100 employees -- in Wisconsin could receive an estimated $4.7 million in rebates, or $28.36 for each of the 167,000 people covered by the plans.
Wieske said that four companies in the individual market and four in the small group market could be required to issue rebates.
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