Florida regulatory officials are preparing for the implementation of the new healthcare reform law.
Florida Insurance Commissioner Kevin McCarty said his Office of Insurance Regulation (OIR) will use a May 4 joint public hearing with the Florida Health Insurance Advisory Board (FHIAB) to gather information on the implementation and its potential impact on Florida, specifically on the law’s restrictions on health insurers’ medical loss ratios (MLR).
The new law establishes a minimum loss ratio of 80 percent for the individual and small group health insurance segments, and 85 percent for the large group segment. The Congressional Budget Office has said that that the majority of insurers are already providing benefits to their customers at or above these levels.
“Although very technical, the medical loss ratio requirements included in the recently passed federal health reform legislation could dramatically alter the health insurance marketplace,” said McCarty. “This public hearing is intended to be a fact-finding exercise to determine the potential impact of federal MLR requirements on the health insurance marketplace.”
The hearing will include panel discussions as well as public testimony.
A recent U.S. Senate report found that some insurers are already shifting costs in response to the loss ratio requirement that becomes effective next January.
Topics Florida Legislation
Was this article valuable?
Here are more articles you may enjoy.
Renewal Changes for Most Commercial Lines Decrease in July and Q2, Says Ivans 
Allstate Q2 Net Income Jumps 56% on Underwriting 
Pritzker Signs Bills Giving Insurance Department Power to Overturn Rate Changes 
Can Reinsurers Maintain Underwriting Discipline or Will ‘Irrational’ Competition Return? 
