Wyoming consumers are receiving more than $1.4 million in health insurance refunds with a new rule of the Affordable Care Act.
U.S. Department of Health and Human Services data shows that 8,203 Wyoming consumers are eligible for the refunds under the 80/20 rule.
The rule requires insurance companies to spend 80 percent of their revenues on patient care. When insurance companies show excessive profits and administrative spending, they are required to pay the refund.
“The 80/20 rule is bringing transparency and competition to the insurance market, ensuring that consumers are continuing to receive value for their premium dollars,” Sylvia Burwell, health and human services secretary, said in a release. “Standards like these created under the health care law are providing Wyomingites with immediate savings and are helping to keep costs down over the long term.”
Refunds will be delivered either as a mailed check, a credited reimbursement to the account of a credit or debit card or a reduction in future premiums over the summer.