In speech Clinton touts the success of Tierney Rule
Peabody, MA -- At the Democratic National Convention, President Bill Clinton laid out in very clear terms why we must re-elect President Obama and return a Democratic majority to the House of Representatives. In his speech, Clinton touted the successes of the Affordable Care Act, and specifically highlighted the Tierney Rule. He explained how John Tierney's legislation is already saving middle-class families money on their health care costs and holding insurance companies accountable.
The Tierney Rule rule makes sure that insurance companies spend at least 80% of your premium dollars on actual health care, and reimburse consumers if they fail to do so. Because of the Tierney Rule, over 160,000 Massachusetts families received a rebate check from their insurance companies, around $140 per family.
Politico: Fact Check on Clinton's statement:
Claim: “Individuals and businesses have secured more than a billion dollars in refunds from their insurance premiums, because the new law requires 80 percent to 85 percent of your premiums to be spent on health care, not profits or promotion.”
True. Clinton was talking about the medical loss ratio requirement in the health care law, which requires insurers to spend most of their customers’ premiums on medical services and limits how much can be used for administrative costs. According to the Department of Health and Human Services,12.8 million Americans were set to get a total of $1.1 billion in rebates from insurers that didn’t meet that standard. The rebate checks went out in August.
Tierney's work recognized by colleagues in Congress
Under Tierney Rule, Millions of Families and Employers Now Receiving Rebate Checks from Insurance Companies
August 1st, 2012
Video Of Clinton Speech
September 6th, 2012