ObamaCare Gives $1.1 Billion in Cash Back to the American People
ProudProgressive
2012/06/30 18:59:08
ObamaCare Gives $1.1 Billion in Cash Back to the American People
By: Ray Medeiros
June 30, 2012
Hidden behind the right's propaganda about a massive tax hike is the fact that Obamacare is forcing insurance companies issues a refund worth $1.1 billion to the American people.
With all the talk about the "massive tax hike", which is actually smaller than Reagan's tax hike of 1982, President Obama's healthcare law is forcing health insurance companies issues a refund worth $1.1 billion dollars to Americans and business starting August 1st, 2012.
The reason for this rebate is because in the Affordable Care Act, it mandates a medical loss ratio of 80%- 20%.
As Reuters is reporting,
"The rebates stem from a provision of the healthcare law that requires insurers to spend at least 80 percent of premiums on medical care or quality improvements, rather than advertising and administrative costs, salaries or bonuses. Insurers that devote less to actual healthcare services must pay customers the difference.
About 4.1 million people who are covered by individual insurance plans would receive a direct rebate, which HHS said would average $152 per family.
But the remaining 8.7 million beneficiaries are covered through the small and large employer markets and would receive only a portion of the rebate value depending on their share of premium costs. Officials said employers may choose to pass along the value of the rebate due their employees in forms other than cash, such as lower premiums or added benefits."
The Republicans are threatening to take this away from you. Imagine what you could do with $1.1 billion for the economy.
ObamaCare is far from perfect, but it is a step in the correct direction. I personally do not care for the mandate, but I will deal with the mandate when it is accompanied with all the other things in the bill from this provision to closing the doughnut hole and cover elderly citizens' preventative care at no cost.
By: Ray Medeiros
June 30, 2012
Hidden behind the right's propaganda about a massive tax hike is the fact that Obamacare is forcing insurance companies issues a refund worth $1.1 billion to the American people.
With all the talk about the "massive tax hike", which is actually smaller than Reagan's tax hike of 1982, President Obama's healthcare law is forcing health insurance companies issues a refund worth $1.1 billion dollars to Americans and business starting August 1st, 2012.
The reason for this rebate is because in the Affordable Care Act, it mandates a medical loss ratio of 80%- 20%.
As Reuters is reporting,
"The rebates stem from a provision of the healthcare law that requires insurers to spend at least 80 percent of premiums on medical care or quality improvements, rather than advertising and administrative costs, salaries or bonuses. Insurers that devote less to actual healthcare services must pay customers the difference.
About 4.1 million people who are covered by individual insurance plans would receive a direct rebate, which HHS said would average $152 per family.
But the remaining 8.7 million beneficiaries are covered through the small and large employer markets and would receive only a portion of the rebate value depending on their share of premium costs. Officials said employers may choose to pass along the value of the rebate due their employees in forms other than cash, such as lower premiums or added benefits."
The Republicans are threatening to take this away from you. Imagine what you could do with $1.1 billion for the economy.
ObamaCare is far from perfect, but it is a step in the correct direction. I personally do not care for the mandate, but I will deal with the mandate when it is accompanied with all the other things in the bill from this provision to closing the doughnut hole and cover elderly citizens' preventative care at no cost.
Read More: http://www.politicususa.com/obamacare-1-1-billion-...
And it's about time America brought down the exorbitant cost of health care (17% of GDP, vs. 6-11% in all other Western countries, which have universal health care).
So, for a pittance of $152 per family for 4 million people - 1.3% of the total population - the rest of us have our insurance premiums increased and many of us will lose our current insurance and be forced into costly insurance exchanges.
It is, of course, also brilliant politics on Obama's part. Those checks will be sent to homes between now and election day...