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The Federal Medical Loss Ratio Rule: Implications for Consumers in Year Three
The Commonwealth FundLink to more items from this source
Mar. 26, 2015

"[T]otal rebates for 2013 were $325 million, less than one-third the amount paid out in 2011, indicating much greater compliance with the MLR rule. Insurers' spending on quality improvement remained low, at less than 1 percent of premiums. Insurers' administrative and sales costs, such as brokers' fees, and profit margins have reduced slightly but remain fairly steady. In the first three years under this regulation, total consumer benefits related to the medical loss ratio -- both rebates and reduced overhead -- amounted to over $5 billion."

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