Here a radical idea: What if health insurance companies had to spend most of the money they collect in premiums to provide actual health care for people they insure?
As part of the health care reform enacted by Congress, new federal rules announced last week will require exactly that.
Beginning next year, insurers will have to spend at least 80 percent of every premium dollar on health care. Those selling large-group coverage will have to spend 85 percent on care.
Insurance companies refer to the amount they spend on your health care as their "medical loss ratio" Those that do not meet the new standard will have to give rebates to their customers. As many as 9 million Americans could receive such rebates in 2012.
For about 180 million Americans with private health insurance — everyone who gets insurance through his job or buys it on his own — the new rules are a very good thing.
That especially true for people in the so-called individual market. Most Missourians who buy insurance on their own are covered by companies that now do not meet the new standard.
As part of the health care reform enacted by Congress, new federal rules announced last week will require exactly that.
Beginning next year, insurers will have to spend at least 80 percent of every premium dollar on health care. Those selling large-group coverage will have to spend 85 percent on care.
Insurance companies refer to the amount they spend on your health care as their "medical loss ratio" Those that do not meet the new standard will have to give rebates to their customers. As many as 9 million Americans could receive such rebates in 2012.
For about 180 million Americans with private health insurance — everyone who gets insurance through his job or buys it on his own — the new rules are a very good thing.
That especially true for people in the so-called individual market. Most Missourians who buy insurance on their own are covered by companies that now do not meet the new standard.
No comments:
Post a Comment