Press Release  Healey-Driscoll Administration Returns $14.5 Million to Health and Dental Insurance Consumers and Businesses

BOSTON — Governor Maura Healey’s Division of Insurance announced today that nine health and dental insurance carriers will return $14.5 million to hundreds of thousands of Massachusetts consumers through rebates required under the state’s health and dental insurance laws. 

For the first time, Massachusetts is requiring dental insurance companies to issue rebates after failing to meet the state's Dental Loss Ratio (DLR) standard, making Massachusetts the first state in the nation to require and enforce dental insurance rebates. Six dental insurance companies – Blue Cross and Blue Shield of Massachusetts, Inc., Guardian Life Insurance Company, Harvard Pilgrim Health Care Insurance Company, Inc., Reliance Standard Insurance Company, Standard Insurance Company, and Starmount Life Insurance Company – will return $8.4 million to consumers enrolled in their dental plans. An additional $6.1 million will be returned by three health insurance companies – Harvard Pilgrim Health Care Insurance Company, Inc., Massachusetts General Brigham Health Plan and UnitedHealthcare Insurance Company – to consumers covered by individual and small employer health plans.

“People deserve to know that when they're paying for health and dental insurance, their money is actually going toward care,” said Governor Maura Healey. “Massachusetts has some of the strongest consumer protection laws in the country, and we're making sure they are enforced. We are putting more than $14 million back into the pockets of families and small businesses while implementing nation-leading dental insurance protections that save people money.”    

“Our efforts will help families and small business owners across the Commonwealth at a critical time. These rebates are important parts of our overall strategy to root out wasteful spending and reduce costs,” said Insurance Commissioner Michael Caljouw. “Massachusetts has some of the strongest consumer protections in the country to ensure that the money people pay for health and dental insurance is spent on patient care—not administrative costs or profits. State law requires health insurance companies offering individual and small employer plans to spend at least 88 percent of premium dollars on health care services, higher than the federal standard of 85 percent. Massachusetts law also requires dental insurance companies to spend at least 83 percent of premium dollars on dental care services. When insurers fall short of those standards over a three-year period, they are required to return a portion of premiums to consumers.”

The amount each policyholder receives depends on their insurance carrier and the premiums they paid. Rebates are issued as a check or as a credit toward future premium payments, and carriers will begin issuing refunds later this month. 

Today's announcement builds on Governor Healey’s ongoing efforts to lower health care costs and hold insurance companies accountable. Her administration has imposed the strongest limits in the country on the growth of health insurance deductibles and co-pays, eliminated prior authorization requirements for routine and essential care, and moved to prevent medical debt from appearing on consumer credit reports. Governor Healey also created the Health Care Affordability Working Group, which recently released recommendations to further lower costs for patients, families and businesses. 

Last month, the Division of Insurance negotiated down proposed 2027 health insurance rate increases from seven insurers and rejected another excessive increase, actions projected to save Massachusetts residents and businesses more than $72 million in future premium costs.

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