Section 158.130 - Premium revenue(a)General requirements. An issuer must report to the Secretary earned premium for each MLR reporting year. Earned premium means all monies paid by a policyholder or subscriber as a condition of receiving coverage from the issuer, including any fees or other contributions associated with the health plan. (1) Earned premium is to be reported on a direct basis except as provided in paragraph (b) of this section.(2) All earned premium for policies issued by one issuer and later assumed by another issuer must be reported by the assuming issuer for the entire MLR reporting year during which the policies were assumed and no earned premium for that MLR reporting year must be reported by the ceding issuer.(3) Reinsured earned premium for a block of business that was subject to indemnity reinsurance and administrative agreements effective prior to March 23, 2010, for which the assuming entity is responsible for 100 percent of the ceding entity's financial risk and takes on all of the administration of the block, must be reported by the assuming issuer and must not be reported by the ceding issuer.(b)Adjustments. Earned premium must include adjustments to: (1) Account for assessments paid to or subsidies received from Federal and State high risk pools.(2) Account for portions of premiums associated with group conversion charges.(3) Account for any experience rating refunds incurred, excluding any rebate paid based upon an issuer's MLR.(4) Account for unearned premium.(5) Account for the net payments or receipts related to the risk adjustment, risk corridors (using an adjustment percentage, as described in § 153.500 of this subchapter, equal to zero percent), and reinsurance programs under sections 1341, 1342, and 1343 of the Patient Protection and Affordable Care Act, 42 U.S.C. 18061 , 18062 , 18063 . 75 FR 74921 , Dec. 1, 2010, as amended at 77 FR 28790 , May 16, 2012; 78 FR 15539 , Mar. 11, 2013; 79 FR 13842 , Mar. 11, 2014