Conflict is heating up relating to the Medical Loss Ratio (MLR) regulations and the impact on broker commissions. A growing faction of advocates is encouraging key policymakers to remove the broker commission from the MLR formula altogether. This blog offers a snapshot of likely events over the next several weeks.
As of January 1, 2011, the interim final MLR regulations now require health insurance issuers to spend at least 80% of the funds they receive in health plan premiums from the individual and small group markets -- and 85% from the large group market -- on a combination of medical care claims and activities to improve healthcare quality. [1]
