An interesting new report has revealed that health insurers are currently busy using accounting gimmicks to try their best to get around the industry reform, spend less than estimated on medical care for patients and boost profits from the corporate sector.

It has been reported that various major health insurance companies of the country are trying to get around the new regulations that require them to alter their spending habits.

In order to comply with the healthcare changes, large group insurance plans are required to spend at least 85 cents of every premium paid to them by the consumers on medical care. That money, under the new regulations, cannot be spent on administrative expenses.

On the other hand, individual and small group plans are needed to spend at least 80 cents of every premium Dollar received on medical care alone.

The majors of the sector, however, seem to be doing their best to work their way around these new rules.

This is being done by them through reclassification of certain administrative costs as medical expenses.

The new regulations governing the healthcare sector are expected to kick-in in January next year.