Insurance regulators tasked with shaping a key health reform provision will make their recommendations to the federal government and leave some agents nervous about future commissions, The Associated Press reports.
The National Association of Insurance Commissioners has adopted regulations for medical loss ratios, an obscure statistic that could lead to consumer rebates. These ratios basically measure the percentage of premiums an insurer spends on care, and the association has spent months studying how they should be regulated.
Next year, insurers will have to meet minimum percentages or provide rebates. The goal is to discourage them from using premiums to enhance profits or executive salaries.
But agents worry the provision will lead to a cut in commissions.
The Department of Health and Human Services will use the association’s recommendations to finalize regulations later this year.
