8.2 million people could soon get a discount from their health insurer.

Depending on how you get your health care coverage, you may soon get a discount on your insurance.

An estimated 8.2 million policyholders are expected to receive $1 billion in price cuts from various insurers by Sept. 30, according to an analysis by the Kaiser Family Foundation.

Reimbursements generally average $141 per participant in public marketplace plans, $155 for small employer plans, and $78 for enrollees in large group plans (excluding companies). self insurance).

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However, discount rates can vary widely depending on your location and insurer.

The total refund of $1 billion is down from $2 billion in 2021 and $2.5 billion in 2020.

Cynthia Cox, vice president and director of the Affordable Care Act program at the foundation, said: “We’ve seen some very large rebates in the last two years – this year’s size is double. But I’d say $1 billion is still worth it.

Insurers typically either send a check to policyholders or deduct a discount from premiums (and send a check to non-enrolled individuals). If you’re in a group plan, your employer may split the discount with you, Cox said.

So why do discounts come out?

Basically, insurance companies selling group or individual policies must adhere to a “medical loss ratio” that requires them to spend at least 80 percent of their premiums paid to enrollees on health care costs and other expenses related to a patient’s health. (For large group plans, the ratio is 85/15.) If this threshold is not met, subscribers will be refunded the difference.

Every year, the ratio is calculated on a three-year average basis. So this year’s discounts are based on financial data from insurance companies for 2019, 2020 and 2021.