FL S1122

Establishes minimum loss ratio of 85 percent for standard health insurance forms, replacing procedures for determining reasonableness of benefits in relation to premium rates.

Increases minimum loss ratio for Medicare supplement policies from 75 percent (group) and 65 percent (individual, issued after July 1, 1989) to 85 percent for policies issued on or after October 1, 2010.

Requires insurers to file annual certifications by actuaries or qualified personnel supporting premium rates in relation to benefits, with provisions for 30-day extensions and penalties for non-compliance including discontinuation of policy issuance.

Mandates loss ratio guarantees include independent audits, proportional refunds to policyholders if loss ratios fall below targets, and requires policy form withdrawal if loss ratio exceeds durational target by more than 20 percent with at least 2,000 policyholders.

Establishes minimum loss ratio of 85 percent for long-term care insurance policies and requires commission to adopt corresponding loss ratio and reserve standards.