As it stood before, there was no reason for an insurance company to have any interest in paying out claims, especially when it came to medical bills. In 2006, I was a victim of a hit and run driver who totaled my vehicle and caused spinal and nerve damage which will haunt me for the rest of my life. The day after I made the report to my insurance company, an adjuster came out to my house, told me I looked OK and after looking at my vehicle, told me he would cut me a check for $2K on the spot if I just signed a waiver. Even after I involved an attorney, I still wasn't paid even a dime of the additional $25k insurance I had paid into above the basic $10k auto policy I purchased.
Same goes for health insurance, home insurance, etc. This law requires them to pay out a portion of revenues to instead of paying incentives to agents to deny or delay as many claims as possible. Yet, the people opposing the healthcare law want you to believe it is about personal liberty, but want you to forget they were the ones who originally proposed the idea of the individual mandate which forces people who may not need coverage to get it in order to pad the profits of the insurance corporations. This is a far more complex game than the average voter grasps but it continues to boil down to the old shell game where the working class person is once again tricked into voting for having money taken out of their wallets in the name of "liberty".