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Medical Loss Ratio (MLR)

Medicare Glossary

A federal requirement that Medicare Advantage and Part D plans must spend at least 85% of their premium revenue on healthcare services and quality improvement rather than administrative costs or profits.

This content is for educational purposes only and does not constitute a recommendation of any specific Medicare plan. Benefits, costs, and availability vary by plan and location. For complete information about your Medicare options, visit Medicare.gov or call 1-800-MEDICARE (1-800-633-4227), TTY: 1-877-486-2048, available 24 hours a day, 7 days a week.