64% of Health Insurance Plans Would Have Met or Exceeded New Medical Loss Ratio Standards in 2010

A review of health plan medical loss ratios (MLR) that compared performance in 2010 with the newly released MLR standards of the health care reform law found that 64% of credible insurers (those with at least 1,000 life years) would have met or exceeded the new MLR standards. The MLR is the percentage of premiums that the health insurance plan uses to reimburse provider organizations that provide direct care services to plan beneficiaries. The 2010 Patient Protection and Affordable Care Act (PPACA) mandated new MLR standards that allow insurers to combine medical care costs and expenses for activities that . . .