This amendment also reforms administrative and operating reimbursements that the government pays to private insurance companies by capping those payments at $900 million, which is a fairly moderate cap and below what's currently being spent. It also lowers the reimbursement to insurance companies to the President's target of 12 percent return from 14 percent return.
Thomas E. Petri: “This amendment also reforms administrative and operating reimbursements that the government pays to private insurance…”
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