Individual health insurance holders could get rebate

April 26, 2012 5:46:50 PM PDT
People who bought their own individual health insurance could be in for a nice rebate.

The Wall Street Journal reports rebates from health insurance companies to both individuals and employers could top $1 billion.

A provision in the federal overhaul of our health laws requires insurance companies to spend a minimum amount of premium dollars on health care. If they fail to do that, refunds must be issued.

The non-partisan Kaiser Family Foundation estimates the rebate will be $426 million to individuals with another $900 million going to large employers and small businesses.

A similar analysis by Goldman Sachs puts the payout at $1.2 billion. Insurance companies must declare this June how much the rebates will be.