HHS: Consumers Saved $1.2 Billion on Premiums in 2012
Sept. 12—The “rate review” provision of the Affordable Care Act (ACA) saved 6.8 million consumers an estimated $1.2 billion on health insurance premiums in 2012, according to a report released Wednesday by the U.S. Department of Health and Human Services (HHS).
Designed to slow growth in insurance premiums, the federal rate review rules implemented in September 2011 under the ACA require insurance companies to submit for review and justify any proposed health insurance premium increase of 10 percent or more.
To assist states in this effort, the ACA provides states with health insurance rate review grants to enhance their rate review programs and bring greater transparency to the process.Forty-six states, the District of Columbia, and five territories have been awarded rate review grant funds to make the rate review process stronger and more transparent, according to HHS.
Publication Date: Thursday, September 12, 2013