Request To Delay Insurance Rules Denied

{Kentucky}...The federal Department of Health and Human Services sent a letter to Kentucky Friday saying it had denied a request to delay implementing new rules for insurance companies until 2014. Federal officials say Kentucky must adhere to the rules by 2012. The standards are part of the federal health care overhaul bill. The provision requires that insurance companies spend 80 percent of premiums on paying customers' claims. The state Department of Insurance had asked that it be allowed to gradually increase the medical loss ratio, saying it was concerned insurance companies would move out of Kentucky. But, federal officials think companies would be able to meet the requirement by next year without substantial losses.