Rebates 8/1/12 on Health Insurance Premiums paid in 2011

[dado potato]

Pursuant to the Affordable Care Act, insurance companies are expected to rebate approximately $1 billion to customers. Companies who in 2011 had a Medical Loss Ratio
less than 80% for individuals/small-group policies,
or less than 85% for large-group policies (with over 50 members in the group)
are required to issue checks by August 1 for the excess.

At http://companyprofiles.healthcare.gov you can look up your health insurance company to see whether a rebate is forthcoming.

The law imposes a limit of 20% (15% on large group insurance plans) that an health insurance company can allocate to overhead and profit... 80/85% (minimum) must be paid out as benefits annually.

[lhamo]

Looks like expatriate medical plans have been excluded from the requirement, so we won't be getting any rebate.

Note also that for those with company-provided insurance, the rebate goes to the employer and is supposed to be applied against future premiums or otherwise proportionately allocated to benefit the employees. Might be worth checking with your employer to see what their plans are. I would guess many don't have them yet...

lhamo

[jennipurrr]

My insurance company doesn't even come close. I guess that is a good thing though.

Individual Market: 95.2%
Small Group Market: 87.2%
Large Group Market: 92.2%