Health Risk Management
May 14, 2003
10:00 a.m. Central Time
Carl Westman, Rajeev Dutt, John Stark, Bernie Rabinowitz
Bernie gave a brief
report on his thoughts for the modeling group. He will be circulating something
shortly. A brief summary follows:
- What is the purpose
- How much capital
do you need?
the risk and know how to mitigate it
whether best practices are occurring
- How do you model
- Built up over
of many small items
- What is the root
cause of the failure? This is what you need to model
- Internal strategic
- Internal process
- External direct
relationships: networks, customers, agents
indirect: economy, political
- What are you assuming
in the model?
There was a discussion
of "root causes" and whether they should be incorporated into
our health risk-mapping document. It was decided that this should be a
part of the document, however, it would be addressed after we completed
the current phase of revisions.
Carl started presenting
the Pricing Risk section to the overall group for discussion. Comments
were added to the working document. Highlights were as follows:
The underwriting elements of the original definition for anti-selection
were replaced with one that focused on the type of risk that attached
to the product. The original definition was moved to the underwriting
category within the pricing risk section
- The competition definition was enhanced to incorporate a company's
sub-optimal performance and the speed with which they could react to competitors.
This topic still needs further review.
At our next meeting,
we will pick up after the "financial viability of capitated entity"
section of the pricing risk category.
* * *
The next meeting
is on May 28 at 10 a.m. Central Time.
| Events | Library
| Links | Finance
Contact Us |
Site Map | SOA
Homepage | What's