AHP Consulting Actuary Greg Fann, FSA, FCA, MAAA was quoted in a recent Bloomberg Law article focused on the 2019 refunds from the medical loss ratio requirement under the Affordable Care Act.

“The CSR defunding made the market more attractive” to consumers who qualified for subsidies, Greg Fann, a consulting actuary with Axene Health Partners LLC of Temecula, Calif., said in an interview.

Insurers overreacted to the loss of the payments by raising rates too much in 2018, Fann said. In addition, they overestimated the impact of losing customers due to the repeal at the beginning of 2019 of the requirement that all individuals have health coverage, he said.

“They clearly overpriced for 2018,” said Fann, a fellow of the Society of Actuaries.

You can read the the full article at the link below. For more information on how this may affect your practice, contact Greg Fann.