For these hospitals, the Contractual Plans, Medicaid, and Commercial Insurance CMIs load highly on the first factor.
As in our previous analyses, Workmen's Compensation and Other Government Insurance exhibit the lowest factor loadings, while the Commercial Insurance and Contractual Plan loadings exhibit the highest weights.
The Commercial Insurance, Contractual Plan and Workmen's Compensation CMIs load highest on the first factor.
With the wide availability of much less costly alternative products, regulators also question the need for contractual plans
to continue to be sold.
The ABCs of Mutual Funds explains precisely how mutual funds, contractual plans
, hedge funds, exchange traded funds, folios, unit investment trusts, and variable annuities work, as well as the differences between full service and discount dealers, the legal obligations of stockbrokers, and much more.
In fact, a part of the Investment Company Act of 1940 that was amended in 1970 specifically provides for contractual plans.
introduced a bill (HR 5011) that would ban the sale of mutual fund contractual plans outright.
The bill would ban the sale of mutual fund contractual plans and ensure full regulation of life insurance and other financial products sold on military bases.
Although potentially providing returns equivalent to other products if steady payments are made over a long period, these contractual plans
proved more expensive to most military purchasers than other widely available alternative products because many military members stopped making payments in the first few years.
The bill also would require insurance agents selling products on military bases to disclose that subsidized coverage might be available from the federal government, and it would ban outright the sale of mutual fund contractual plans.
Contractual plans impose front-end sales loads that can amount to as much as 50o/6 of first-year contributions.