MLR rule may drive out low-cost health care plans

12/7/2011 | Investor's Business Daily

The medical loss ratio rule may inadvertently push low-cost, high-deductible plans from the market by making them switch from MLRs of 60% or 70% to the 80% required, experts say. The "silver" and "bronze" plans are aimed at individuals and small employers, and some are coupled with health savings accounts. Such packages may become unattractive to carriers once they must comply with higher MLRs, independent consultant Roy Ramthun said.

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