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New Reform Rule Will Access Fee On Medical Plans

12/27/12

  01:36:45 pm, by MedBen5   , 171 words,  
Categories: News, Health Plan Management

New Reform Rule Will Access Fee On Medical Plans

So often with legislation, the devil – not to mention, the cost – is in the details. So it should come as little surprise that a rather pricey health care provision got buried in a recent reglation.

According to The Associated Press, medical plans will be required to pay a $63-per-insured fee to cushion the cost of people with pre-existing conditions under the Affordable Care Act. The fee will be assessed on all “major medical” insurance plans, including those provided by employers and those purchased individually by consumers.

The Obama administration says the assessment is a temporary measure designed to raise $25 billion, and will decline over three years. Most of the money will go into a fund administered by the Health and Human Services Department.

The fee will be implemented in 2014, when the health care reform law will require health insurance companies to accept new members unconditionally regardless of medical history. The fund will serve as a buffer to insurers from the initial unpredictability of covering uninsured people with health problems.

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