CIRCA 2017 – Per Capita
[By staff reporters]
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Filed under: Health Law & Policy, Practice Management | Tagged: Health Administration Spending |
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CIRCA 2017 – Per Capita
[By staff reporters]
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Filed under: Health Law & Policy, Practice Management | Tagged: Health Administration Spending |
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A REPEAL OF THE ACA “OBAMACARE” WOULD ELIMINATE THIS PROVISION
For the uninitiated – The Affordable Care Act (ACA) “ObamaCare” created the first uniform minimum Medical Loss Ratio (MLR) standard. The ACA-MLR requires health insurance issuers in the individual, and small group markets, and large group market to spend at least 80% and 85%, respectively, of their premium income on medical care and health care quality improvement, leaving the remaining 20% or 15% for administration, marketing, and profit. The ACA also requires such plans to provide an annual rebate to consumers (enrollees) if they do not meet these requirements.
The MLR rules became effective on January 1, 2011.
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