Establishing a medical loss ratio of at least 90 percent for health plans.

SB 5953 requires Washington health insurance plans issued or renewed on or after January 1, 2027, to spend at least 90% of premium revenue on actual medical care (not administrative costs). This directly affects health insurers operating in Washington State by mandating a minimum medical loss ratio. The bill adopts the federal definition of "medical loss ratio" from 45 C.F.R. Sec. 158.221 (2025) and authorizes the insurance commissioner to create implementing rules. The law aims to ensure more premium dollars fund patient care rather than overhead.