HealthScape-MLR Survey

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A recent preliminary survey by HealthScape Advisors LLC showed that 46 percent of individual plans surveyed would likely have to give rebates to their policyholders if they do not change their spending patterns in 2011. HealthScape Advisors’ findings are the first to include adjustments to the MLR as put forth by the regulations issued in November 2010 by the Department of Health and Human Services (HHS). The regulations allow insurers to exclude federal and state taxes as well as licensing and regulatory fees. These provisions make it easier for insurers to meet the MLR requirement and less likely to them to pay rebates.

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Date: May 2011