Texans who buy their own health insurance could be due an estimated $481 million in refunds over the next three years, thanks to the Affordable Care Act (ACA), the much-maligned national health reform law. Unfortunately, some Texas officials are trying to deny consumers the money they are owed - and hand most of it right back to the insurance companies.
At issue is a pro-consumer provision in the ACA designed to keep insurance companies from gouging policyholders. This rule - known as the medical loss ratio (MLR) - makes sure insurance companies don't spend more than 20 percent of customers' premiums on non-health care items like marketing, CEO salaries, paperwork and profits. Spend any more, and the company must cut consumers rebate checks.
Question: What's 20% of $100.00? Answer: $20.00
What's 20% of $120.00? Answer: $24.00
How did the insurance corporation get the $120? Answer: They raised premiums.
Who paid more? Answer: The consumer.
When did the consumer pay more? Answer: After Obama and his minions passed Obamacare.
Case and effect strikes again.
"Unlimited tolerance must lead to the disappearance of tolerance. If we extend unlimited tolerance even to those who are intolerant, if we are not prepared to defend a tolerant society against the onslaught of the intolerant, then the tolerant will be destroyed, and tolerance with them." - Karl Popper
“It’s the presumption that Obama knows how all these industries ought to be operating better than people who have spent their lives in those industries, and a general cockiness going back to before he was president, and the fact that he has no experience whatever in managing anything. Only someone who has never had the responsibility for managing anything could believe he could manage just about everything.” - Thomas Sowell in Reason Magazine