News Headlines Article

Larger insurers stand to gain, study says
Modern Healthcare

The new healthcare reform law will shake up the health insurance industry, squeezing profits of smaller insurers while boosting fortunes of larger plans, and possibly leading to further market consolidation, according to a study by Weiss Ratings. New rules starting next year that will require insurers to spend between 80% and 85% of member premium dollars on medical expenses could cause some smaller insurers to fail, according to the insurance company rating firm.