S. 1416

Medigap Medical Loss Ratio Improvement Act of 2011

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II

112th CONGRESS

1st Session

S. 1416

IN THE SENATE OF THE UNITED STATES

July 26, 2011

Mr. Kerry (for himself and Mr. Franken) introduced the following bill; which was read twice and referred to the Committee on Finance

A BILL

To amend title XVIII of the Social Security Act to increase the minimum loss ratio required of Medigap policies.

1.

Short title

This Act may be cited as the Medigap Medical Loss Ratio Improvement Act of 2011.

2.

Increase in required Medigap loss ratio

(a)

In general

Section 1882(r)(1)(A) of the Social Security Act (42 U.S.C. 1395ss(r)(1)(A)) is amended—

(1)

by striking 75 percent and inserting 85 percent; and

(2)

by striking 65 percent and inserting 80 percent.

(b)

Effective date

The amendments made by subsection (a) shall apply to policies for policy years beginning on or after January 1, 2014.