Millions of health insurance customers are due rebates this year. That's according to a federal report. As much as $500 million dollars will be given out.
How much will you get? The U.S. average is about $100.00. But according to HHS, Michigan residents will get an average of $138.00. By Aug. 1, 8.5 million people will get rebates because their health insurance providers spent too much on overhead and not enough on medical care last year, according to the Centers for Medicare and Medicaid Services. Its less than last year.
Some will get rebate checks. Other insurance companies have decided to lower their rates by that amount.
The Huffington Post reports, under the health care reform law's so-called 80/20 standard, health insurers must devote at least 80 percent of the premiums they receive to medical services, essentially capping the amount they can spend on administration and retain in profits.