Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

ProSense

(116,464 posts)
Sat Jun 8, 2013, 12:20 PM Jun 2013

Insurers Aren’t Just Giving Out Rebate Checks Because Of Obamacare — They’re Lowering Premiums, Too

Insurers Aren’t Just Giving Out Rebate Checks Because Of Obamacare — They’re Lowering Premiums, Too

By Sy Mukherjee

Americans who bought individual health plans in 2012 saved $2.1 billion thanks to Obamacare consumer protections that limit how much insurers can profit off of Americans’ premiums, according to a new study by the Kaiser Family Foundation (KFF). The vast majority of those savings stem from individual health plan providers lowering the premiums they charge Americans in an effort to comply with the reform law.

The Kaiser study comes shortly after several major California insurers announced that they would have to pay back $36 million to small businesses and their employees after charging them too much. Obamacare mandates that insurers on the individual market spend at least 80 percent of the premiums they charge on actual medical services, or reimburse the amount they overspent to their customers.

But insurers can avoid writing those checks after-the-fact if they just lower their premiums to begin with — and KFF’s study concludes that’s what many individual plan providers have been doing. KFF estimates that individual market insurers lowered their premiums by $856 million in 2011 and by $1.9 billion in 2012 to comply with the so-called “80/20 rule”:



The combination of these premium savings and rebate checks meant that Americans who bought their own insurance spent 7.5 percent less on their coverage in 2012 than they would have without Obamacare’s consumer protections.

- more -

http://thinkprogress.org/health/2013/06/07/2121051/insurers-rebate-checks-premiums-obamacare/



17 replies = new reply since forum marked as read
Highlight: NoneDon't highlight anything 5 newestHighlight 5 most recent replies
Insurers Aren’t Just Giving Out Rebate Checks Because Of Obamacare — They’re Lowering Premiums, Too (Original Post) ProSense Jun 2013 OP
Mine went up. WinkyDink Jun 2013 #1
Of course it did. Cha Jun 2013 #12
Thank you for not shouting Fumesucker Jun 2013 #2
My husband and I buy insurance Just Saying Jun 2013 #3
$250 per person per month is NOT expensive. kestrel91316 Jun 2013 #9
Yes it is expensive and way too much Lex Jun 2013 #10
Sorry but it is too much Just Saying Jun 2013 #15
waiting to see Skittles Jun 2013 #4
Insurers Flashmann Jun 2013 #5
My premium went down $50 a month Bobbie Jo Jun 2013 #6
and under Obamacare, all flu shots are free too Lex Jun 2013 #11
I as a contractor recently paid almost twice as much as I paid as an employee earlier for COBRA... cascadiance Jun 2013 #7
COBRA is a joke! Just Saying Jun 2013 #16
When I lost my job when I was 21 years old in 2002 they quoted me 450$/mo. Sirveri Jun 2013 #17
I'm seeing a tremendous amount of relief in the lives of people I know from the ACA. freshwest Jun 2013 #8
As VP Biden orginally said.. It's a BFD! Cha Jun 2013 #13
Yup. ProSense Jun 2013 #14

Just Saying

(1,799 posts)
3. My husband and I buy insurance
Sat Jun 8, 2013, 12:27 PM
Jun 2013

Thru a small business cooperative and its very expensive-about $1000 a month for a family of 4 and none of us has any serious, chronic illness at this point. (thank God). Believe me, I'll be shopping in the new marketplace when it's available here in Ohio and thanking President Obama.

 

kestrel91316

(51,666 posts)
9. $250 per person per month is NOT expensive.
Sat Jun 8, 2013, 01:47 PM
Jun 2013

$500 per month for a single person with a $7500 deductible and 20% copay on the first several thousand in care, and NO waiver of ded/copay on any preventive care...................now THAT'S expensive. And it's why I haven't had medical insurance for over 5 years.

Lex

(34,108 posts)
10. Yes it is expensive and way too much
Sat Jun 8, 2013, 01:57 PM
Jun 2013

than what anyone should have to pay. So is what you outlined as well.

Just Saying

(1,799 posts)
15. Sorry but it is too much
Sat Jun 8, 2013, 04:29 PM
Jun 2013

$1000 bill per month is a ton of money with our income. That's life changing money. You need to understand that my kids are little so the amount for them is less than $100 each. My husband and I are in our 40s.

I feel for your situation but as you can see, we're in the same boat. But we can't do without especially with kids. I hope that Affordable Care gives us some affordable care. Wouldn't that be amazing!

Our policy has gone up as much as 38% in a year! It's crazy! No explanation, nothing. And if we're late they cancel and then we have to write a letter explaining it. Oh the things I want to say to them!

Skittles

(153,209 posts)
4. waiting to see
Sat Jun 8, 2013, 12:43 PM
Jun 2013

all I know is what I hear and I don't know anyone who is happy with the prices - even if they knock a bit of it is still WAY too expensive for what you get

Flashmann

(2,140 posts)
5. Insurers
Sat Jun 8, 2013, 12:43 PM
Jun 2013

Insurers Aren’t Just Giving Out Rebate Checks Because Of Obamacare — They’re Lowering Premiums, Too...

That's terrible!!!...

Must be the perfect example of the muslim communism,fascist,benghazi socialism everyones so afraid of...Another just in case.

Bobbie Jo

(14,341 posts)
6. My premium went down $50 a month
Sat Jun 8, 2013, 12:47 PM
Jun 2013

as of May 1st, and now covers wellness exams (100%) and contraception.

 

cascadiance

(19,537 posts)
7. I as a contractor recently paid almost twice as much as I paid as an employee earlier for COBRA...
Sat Jun 8, 2013, 01:10 PM
Jun 2013

And now am looking at having to pay for COBRA now where I need it in between jobs where most of my maxed out unemployment checks are going to insurance premiums. And they wouldn't even cover an MRI that I was supposed to get this week that arguably I needed for a current health condition I have. I also pay about twice as much for prescriptions each month than I used to as well.

It's still broken until we get something like single payer in the loop with the profiteering insurance companies out of the mix.

Just Saying

(1,799 posts)
16. COBRA is a joke!
Sat Jun 8, 2013, 04:34 PM
Jun 2013

Years ago when I lost a job they wanted something like $700 per month to keep covering me. Um, hello? I'm unemployed and hoping I can make rent and eat let alone spend an exorbitant amount on health insurance.

The insurance industry is a disgrace. I honestly never thought ObamaCare would pass (and I think he should be honored to have his name attached.) but I agree we need single payer. I hope this is the first step on the long walk to ethical, humane healthcare system.

Sirveri

(4,517 posts)
17. When I lost my job when I was 21 years old in 2002 they quoted me 450$/mo.
Sun Jun 9, 2013, 05:27 AM
Jun 2013

21, no health issues.

Fuck you Blue Cross, you can eat a big bag of dicks.

freshwest

(53,661 posts)
8. I'm seeing a tremendous amount of relief in the lives of people I know from the ACA.
Sat Jun 8, 2013, 01:40 PM
Jun 2013

The expansion of Medicaid with the ACA by our Democratic governor is helping many they could not before. The freeing of funds is restoring health care services to the disabled and poor who had lost coverage.

To millions of people now being insured as a human right, this is what universal coverage looks like.

The private insurance lobby has lost their death panel, which was delay, denial and premiums.

Thanks for the good news.


Cha

(297,764 posts)
13. As VP Biden orginally said.. It's a BFD!
Sat Jun 8, 2013, 02:21 PM
Jun 2013

And, all the whining in the world didn't stop it.. we were fortunate. It's only going to get better.

Thanks ProSense!

Latest Discussions»General Discussion»Insurers Aren’t Just Givi...