The U.S. Department of Health and Human Services has issued an interim final rule on medical loss ratios for health insurance plans, or the percentage of premiums that must be spent on direct medical care. The interim final rule implements a provision in the Patient Protection and Affordable Care Act limiting this medical loss ratio to 85%. The interim final rule was published in the Federal Register on December 1, 2010 and is effective January 1, 2011. HHS is seeking comments on the interim final rule by January 31, 2011.
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