Roll Call: Latest News on Capitol Hill, Congress, Politics and Elections
October 6, 2015

$330 Million in Premium Rebate Checks Are Coming

The Department of Health and Human Services today highlights one of the dividends stemming from the 2010 health care overhaul. HHS this morning announced the tally of this year’s consumer health insurance premium rebates.

The health care law requires insurance companies to spend at least 80 percent of the premium dollars they collect on patient care or rebate the difference back to individuals. The calculation of the medical loss ratio began in 2011 and rebate checks were first issued in 2012.

CQ HealthBeat reported (subscription) that HHS estimates 6.8 million consumers will receive refunds next month totaling $330 million.

A separate HHS report released today estimates that insurance company efficiencies enticed by the MLR formula saved consumers $3.8 billion on premium payments.

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