Obamacare 80/20 Rule Pays Off Big For California

Thanks to Obamacare, small businesses in California will be refunded over $36 million dollars from that state's biggest insurance companies. The healthcare law's so-called “80/20 rule” requires insurance companies to spend at least 80 percent of premiums on actual medical services. In 2011 alone, this same rule provided Americans with $1.5 billion dollars in insurance premium rebates. According to The Think Progress Blog, Blue Shield of California will pay back $24.5 million dollars to its customers, and Anthem Blue Cross will refund another $12 million.

Consumer advocates are cheering the return of premium payments to businesses and workers, but they also argue that insurance companies should not be overcharging in the first place. In an interview with the L.A. Times, Jon Fox, of the California Public Interest Research Group Education Fund, said, “Health insurers should work to cut upfront premiums, rather than reimburse consumers afterward. Millions of dollars in rebates are a clear sign that health insurers are overcharging consumers.” California is one of a few states that cannot negotiate or reject insurance premium rate hikes, but the Obamacare 80/20 rules will ensure that rate increases aren't just adding to insurance company waste.

 

This is good news. Something everyone (except rapacious insurance companies) should be glad of.

 

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...they say as they pull the ladder up.

 

But, don't you see Big Government dangling the food over their heads without actually giving them any?

 

36 million dollars. WOW - that averages out to a 95 cent annual insurance rebate for the citizens of California. What will they do with this windfall. Maybe the insurance companys can work out a deal with McDonald's and send everybody a coupon for a free Latte'.

 

How many small businesses do you think California has?

 

Don't ya know that you're are supposed to make your own damn ladder? We're not in the business of handing out free ladders. What? You want a ladder the handicapped can use? Screw those bottom feeders and the wheelchair they rode in on. Now you want a ladder that is safe for kids? That's their parents responsibility, not ours. They shouldn't have had kids in the pit anyway. It's a nice pit, why don't we just keep all those undesirables in it and save the money on the ladder.

 

You are right because only approximately 1/2 of California's residents are covered by an employer insurance plan. So that coupon should allow the Latte' to be supersized.

 

I think that the part of this story that seems to be going over your head is that the money is being returned to small business owners not individuals. Trying to intentionally or through the fault of your parents to muddy the actual situation here is really sort of pathetic but very consistent with conservatism. No insult intended. I just don't have another way to deal with those that ignore facts purely for political talking points.

Have a nice day!

Thanks to Obamacare, small businesses in California will be refunded over $36 million dollars from that state's biggest insurance companies.

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Read more: http://www.partisanlines.com/threads/obamacare-80-20-rule-pays-off-big-for-california.50375/#ixzz2W0xYoHJ4​

 

I don't know that the insurance companies are most often the ones overcharging for services. Many people where I live go to Mexico for healthcare because they have the same level of care at often 1/10 the cost, and sometimes much less. Insurers still cover the cost, but doctors and hospitals don't overcharge out of greed, or laziness. It's the healthcare professionals that are crippling the system.

 

After just taking my "medicare physical", I truly believe it is not the doctors who are overcharging. There was 2 hours of paperwork involved followed by a blood test. Now this was the same doctor I have been seeing for 40 years, but he still had to create a book for his nurses/aides to rewrite, so they could send it to headquarters so they could message it and send it to the insurance companies (plural) so all could send it to the government so they could analyze the data. All of that to replace me telling him or him seeing that I am in as good health as could be expected.

40 years ago, that was a $25 visit. End of story. Today, he probably winds up with little more than $25, but his nursing staff has tripled, his aides are appearing out of thin air, insurance companies are demanding more paperwork to protect them from lawsuits and government requirement and then we have to pay the government to make the regulations, enforce the regulations (target their audit?), etc. And that does not even count what the lawyers have required the doctors to do.

 

It's probably not always the case, such as with yours. It just makes me wonder why the same healthcare costs so much more here than most anywhere else, even with my provider covering it. Something isn't right somewhere.

 

I have seen more than my share of doctors in the past few years. Believe me when I say that they all (that I have met) say the same thing. And my uncle practiced until the mid 80's charging $15 for an office visit and he apologized for that (often including medications). Obviously, no paperwork or insurance forms. BTW, he "retired" in 1935.

 

And I forgot to mention this is the required yearly physical for medicare. And, when it was first introduced, yiou were also required to have two appointments to complete the physical. The first was for paperwork only and then comeback another day for the rest. Government efficiency?, but the doctors got so disturbed the govenment had to combine the two appointments.

 

Well of course, they want you in there as much as possible because then fees mount. I know the insurance providers are crying right now, but they aren't being effected in the least like the patients are. They get kickbacks that cover more than their expenditures, as well tax exemptions and a whole slew of other write offs. But, they're going to play this out as the victim while the rest of us have to pay the price.

 

If "they" is the government as I stated, your post makes no sense. If you are trying to say "they" is the insurance companies, the insurance companies are only doing what the government is requiring them to do. Besides, I don't think Teddy's wife would appreciate you of accusing her of taking kickbacks.

 

I guess I am failing to see your point here....

 

That's a pretty funny observation on your part since Medicare has far, far, lower administrative costs. Traditional Medicare's administrative costs were only 1 percent in 2010, but if you roll in the private insurers' Medicare plans, that figure jumps to 6 percent.

Now we have a situation where private insurers are forced to return amounts only if they exceed 20%. You really think Medicare costs more? Really?