Michigan Health Insurers Owe Nearly $13.2M In Refunds
LANSING (WWJ/AP) - The federal government says more than 184,000 Michigan health insurance customers will benefit from nearly $13.2 million in refunds because of a provision of the nation's health care law.
The U.S. Department of Health and Human Services released the figures Thursday.
The law requires insurance companies to spend at least 80 percent of the premiums they collect on medical care and quality improvement or return the difference to consumers and employers.
The money won't necessarily be a check in the mail. Employers can apply rebates in a way that benefits workers or take a discount on future premiums. Individual policyholders owed a rebate will either get a check, a reimbursement to their credit card account or see a reduction in future premiums.
The biggest violators include Golden Rule Insurance, HealthPlus Insurance and Humana Insurance. The department said the state's largest health insurers -- Blue Cross Blue Shield of Michigan, Health Alliance Plan and Priority Health -- were not in violation of the law.
Insurers are required to issue the refunds by August 1. The department said the average refund will be around $118 per family.
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