Premium Transparency Act

The Premium Transparency Act requires health insurers and Medicare Advantage organizations to publicly disclose how they spend premium revenue, specifically detailing the percentages allocated to claims, overhead costs, and retained profits. Starting in 2027, these companies must publish this data in a consumer-friendly format on their websites for each plan they offer, allowing individuals to compare financial transparency across different coverage options. Additionally, the bill mandates that the government issue standardized guidance by 2028 to ensure key plan details, such as deductibles, out-of-pocket limits, and specific care costs, are presented in plain English. A further provision updates online plan comparisons to include this new financial data beginning in 2029, aiming to help consumers make more informed decisions about their health insurance.