Posted 4 years ago on July 18, 2012, 12:48 p.m. EST by DKAtoday
from Coon Rapids, MN
This content is user submitted and not an official statement
From an Al Franken newsletter.
Cheaper Health Insurance – and Rebate Checks – for Minnesota Consumers
I’m happy to announce that this summer, many families across Minnesota will be receiving rebate checks from their health insurance companies because of a provision I wrote in the health care reform law. That provision – called the medical loss ratio – requires health insurers to spend at least 80 to 85 percent of what they collect in premiums on actual health services for their customers – as opposed to administrative costs, profits, marketing, or CEO salaries. It sounds complicated, but it means that your insurance company can’t overcharge you for your health insurance. And if they do, they have to give you a rebate.
Recently, a new government report found that because of this provision, nearly 125,000 Minnesotans will receive those rebates — averaging nearly $160 per household — from their health insurance providers. And millions more across the country can expect similar rebates. This is great news for consumers, who can expect lower health care premiums going forward, and will no longer have to foot the bill for the excessive spending of their health insurance company.
The health care reform law sounds like a good regulatory control - Hey?