Wednesday, February 14, 2007

One Percent

Can your plan get by on a one percent increase in payments? According to CMS,

Assuming that plans’ risk scores in 2007 are approximately the same as in 2006, we expect plan payments will increase, on average, by approximately
1.1%.


This is why risk management, in the form of retrospective and prospective programs to correctly assess the risk scores of your membership, is a key strategic determinant of your plan's future success.

(The rest of the linked-to CMS document is worth reading as well.)

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