Georgia had asked HHS to impose a 65 percent minimum in 2011, followed by 70 percent in 2012 and 75 percent in 2013. In 2014, all plans in all states must meet the 80 percent threshold.
Instead, HHS said it would make insurers in Georgia’s individual market spend 70 percent of their revenues on medical costs this year and 75 percent in 2012. The full 80 percent will take effect in 2013.
Twelve of the roughly 20 insurers in Georgia’s individual market are now spending less than 70 percent of their premiums on medical expenses, Larsen said.