Archive for April 5th, 2012
AHL’s TOP STORY: Insurers Would Have Owed $2B in 2010 Under Overhaul’s Medical-Loss Ratio Rule, Report Finds
Private health insurers would have paid their customers about $2 billion in rebates had the medical-loss ratio rule under the federal health reform law gone into effect in 2010, according to a report by the Commonwealth Fund, National Journal reports (McCarthy, National Journal, 4/5).
The report found that about 23% of privately insured U.S. residents would have received rebates if the MLR rule had gone into effect in 2010. About 5.3 million people who receive coverage through the individual market would have received a total of about $1 billion in rebates. The other $1 billion would have been distributed among 10 million people with coverage in the small- and large-group markets.