$113 Million: Floridians benefit from Health Insurers’ Rebates
The 2010 federal health overhaul will lead to rebates for tens of thousands of Floridians who buy individual health-insurance policies or get coverage through small businesses, according to an analysis by the Sun-Sentinel newspaper.
The analysis determined that about 157,000 individuals and families would qualify, as would workers at 352,000 small businesses. In all, it found that the rebates would total an estimated $113 million.
The individual-policy rebates could be paid with a check or a credit toward next year’s premiums.
In group policies, employers would have to pass the money to workers or use it to improve health coverage, according to the Sun-Sentinel.
The rebates stem from a requirement in the 2010 federal law — known in the insurance industry as a “medical loss ratio” — that insurers spend at least 80 percent of premium dollars on health costs.
The concept behind such ratios is to make sure enough money goes to medical care instead of other expenses such as administrative costs and profits.