I got a letter today from my Medigap insurer, United American, saying that that they were gifting me one month’s premium because claims paid by the insurer was less than expected. This does not affect premiums collected in the future.
This is apparently a Washington State insurance regulation and has nothing to do with the nonsense coming from the other Washington. Washington State requires that insurers spend at least 65% of premiums collected on actual health care services for policyholders, and no more than 35% on skim and scam. That seems like a low bar. And United American has the lowest premiums. What’s the “skim rate” for the insurers charging much more?
Obamacare is 80%, Medicare Advantage is 85%, and of course, traditional Medicare spends more than 98.5% of the program budget on actual medical care for beneficiaries.
Washington State continues to provide exceptionally consumer-friendly insurance regulation, unlike some of the other states I lived in like Texas and Louisiana.
intercst