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Rift emerges on medical-loss ratios
Modern Healthcare

The Democratic chairmen of six Congressional panels have sent a letter to the HHS clarifying the intent of a section of the health reform law that outlines which federal taxes can be excluded from health insurers’ revenue calculations. These revenue calculations are important because insurers have to meet standards starting next year on how they spend member premiums. Under the law, health insurers must spend at least 85% of subscriber premiums on medical costs in group coverage plans, and at least 80% of premiums on medical costs for individual plans.

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