Actuarial Value

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Actuarial Value

In health insurance, the estimated percentage of a typical policyholder's medical bills that an individual plan is expected to pay. A policyholder may receive less than the actuarial value in coverage if he/she has few medical expenses (because the bills may not exceed the deductible) and may receive more than the actuarial value if he/she has numerous expenses. The actuarial value is considered a good baseline for the coverage most policyholders will receive most of the time. The Affordable Care Act of 2010 in the United States requires health insurance providers to calculate and publicize the actuarial value of each plan.
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gov platform - FFE and SBE-FPs); issuers can, subject to applicable state law, and certain other conditions, require applicants to first pay past debt owed to the issuer as a condition for new coverage; states can determine network adequacy standards and conduct reviews (provided the State has the authority and the means to conduct network adequacy reviews); QHP issuers must contract with at least 20% of the available essential community providers in the plans service area (down from a minimum of 30 %); and plans can broaden the variation in the actuarial values used to determine metal levels of coverage for individual and small group market plans (e.
Today, insurers are supposed to classify plans as bronze, silver, gold or platinum plans, with actuarial values ranging from 60 percent of the EHB for bronze plans and up to 90 percent of the EHB for platinum plans.
This article shows how reliable actuarial values could be useful to consumers--allowing consumers to compare one plan's value with another--if such measures were to become available in the future.
Sponsors have been taking positive steps to keep their plans healthy, and the erosion is mostly the result of the current market regime-namely the low interest rates that place higher actuarial values on pension liabilities.
If the city of Worcester continues with a pay-as-you-go approach, annually addressing only existing retiree health care costs instead of funding future retiree health care obligations, its liability increases each year as actuarial values rise and the actuarial value of assets remains static or declines,'' The Research Bureau stated in a recent briefing paper.
For example, the median funded position, based on actuarial values of assets and liabilities of the 126 plans reported in the National Association of State Retirement Association Public Fund Survey, was more than 100 percent at the end of fiscal 2000; (5) it was 75.
We then explore the extent to which employers and employees will respond to the excise tax by choosing less-expensive plans with lower actuarial values.
Insurance market reform for individuals and small groups Minimum benefit package Bronze, Silver, Gold and Platinum with actuarial values of 60%-90%.
The development of actuarial values requires information on the deductibles, copayments, and other key plan parameters (e.
Actuarial values represent the percent of total covered expenditures paid for by that plan, averaged over the standard population.
The requirements for defined contribution schemes remain unchanged, but for defined benefit schemes, FRS 17 abandons the use of actuarial values for assets in a pension scheme in favour of a market-value-based approach.