Snap Fact #225
ObamaCare Provides New Help for Health-Care Costs!
More Premiums Allocated for medical care, not bureaucracy
Almost half of consumers who buy their own insurance are in plans that spend more than 25% of every premium dollar on administrative costs. This ends under ObamaCare. This is arguably the most important feature of ObamaCare – it affects most policyholders.
How it works:
• Starting in 2011, many insurance companies must publicly report how much they spend on health-care costs and on administrative costs.
• If you get your insurance through a large employer or other large group, your insurer must spend at least 85% of premiums on medical care or rebate the difference to you and all its policyholders.