Navigation Links
Independent / Provider-Sponsored Administrative Cost Trends Increase in 2008 as Ratios Decrease on Product Mix Change
Date:7/7/2009

PHILADELPHIA, July 7 /PRNewswire/ -- Per member administrative costs grew by 11.5% in 2008, compared with 4.9% in 2007. Adjusting for the shift in product mix towards Medicare Advantage, administrative expense growth increased by 6.2% in 2008 from 3.1% in 2007. By contrast, administrative expenses were 8.3% of premium equivalents in 2008 compared with 9.4% in 2007. Plans reported total administrative expenses of $30.37 per member per month. All cited values exclude investment and non-operating income and expense, income taxes and miscellaneous business taxes.

These results are excerpted from the Independent / Provider-Sponsored (IPS) edition of the Sherlock Expense Evaluation Report (SEER), a benchmarking study comprising the results of 16 plans serving 5.7 million people surveyed by Sherlock Company. Approximately 77% of last year's IPS participants did so again in 2009 and 75% have at participated for at least three years. For public policy and competitive reasons, administrative cost management is a high priority for health plans.

Sherlock benchmarks include thousands of operational and financial performance metrics. Besides Independent / Provider-Sponsored plans, other universes include Blue plans, Medicare plans, Medicaid plans and Larger plans. Collectively the 50 plans serve more than 39 million insured Americans.

The growth in administrative costs ranged from a high of 22.7% for Medical and Provider Managements to a low of 6.0% for Account and Membership Administration. Douglas B. Sherlock, CFA, Sherlock Company's president, noted, "The growth of Medicare dramatically affected comparisons."

Additional information will be published on July 8 in Plan Management Navigator, available upon request or see our website, www.sherlockco.com. The complete analysis is available in SEER. Please call for additional information.

We will host a web conference on Thursday, July 9 from 2:00 PM to 3:00 PM East Coast Time to discuss the summary results. Doug Sherlock will offer a brief presentation, followed by questions and answers. To participate in the web conference, please register at:

https://www2.gotomeeting.com/register/733072418

Once registered, dial-in information and a link to connect to the web will be provided in a confirmation email.

Sherlock Company (www.sherlockco.com), based in Gwynedd, Pennsylvania, provides informed solutions for health plan financial management. Since its founding in 1987, Sherlock Company has been known for its impartiality and technical competence in service to its clients.

    Contact:  Douglas B. Sherlock, CFA
              215-628-2289
              sherlock@sherlockco.com


'/>"/>
SOURCE Sherlock Company
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. Independent Laboratory Testing Shows BioNeutrals Hospital Grade Ygiene(TM) Eliminates Aspergillus Niger (Black Mold) Spores
2. Independent Health to Begin Offering Its Members Vitamins, Supplements and Natural Products
3. New Technology Assists Independent Seniors
4. Helping Dad Stay Independent: The Best Fathers Day Gift for an Aging Parent - A Checklist from Dr. Dan Tobin, Founder and CEO of Care Support of America
5. Three Independent Proxy Advisory Firms Support Stockholder Nominees in Amylin Proxy Fight
6. Support Bristols Highly Qualified Independent Nominees for Advocat Board
7. Gentiva(R) Health Services Receives Nasdaq Notification Regarding Independent Director Requirement
8. Important Data Presented on Independent Predictors of Mortality in Patients With Idiopathic Pulmonary Fibrosis
9. New Organization Formed To Save Independent Medical Equipment Suppliers
10. Super Lice Repelled by All-Natural Products First Ever Independent Study Shows
11. Quigley Corporation Receives Support from Leading Independent Proxy Advisory Firms; RiskMetrics and Glass Lewis Reject Dissident Stockholder Ted Karkus, Citing Failure to Provide Detailed Business Plan
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:10/12/2017)... ... October 12, 2017 , ... Dr. Parsa Mohebi, ... a medical article to the newly revamped Cosmetic Town journal section, ... hair transplant procedure known as Follicular Unit Extraction (FUE). , Dr. ...
(Date:10/12/2017)... ... October 12, 2017 , ... Leading pediatric oncology experts at Children’s ... the 49th Congress of the International Society of Paediatric Oncology (SIOP) Oct. ... Center for Cancer and Blood Disorders at Children’s National, and Stephen P. Hunger, ...
(Date:10/12/2017)... ... October 12, 2017 , ... ... of Michigan’s 2017 Best and Brightest in Wellness® by Best and Brightest. OnSite ... program on Friday, Oct. 20 from 7:30 a.m. to 2 p.m. at the ...
(Date:10/12/2017)... ... October 12, 2017 , ... In the United States, single-family ... some states—like New York, New Jersey, Massachusetts, Texas, Virginia, Connecticut, and California—the average ... extremely low property-tax rates, which contributes to the relatively lower cost of living ...
(Date:10/12/2017)... ... 12, 2017 , ... Farm Forward joins Bon ... leading institutions in announcing the launch of the Leadership Circle , a ... are raised for food. , Founding members of the Leadership Circle also include ...
Breaking Medicine News(10 mins):
(Date:10/12/2017)... Pa. , Oct. 12, 2017 ... leader in innovative solutions for injectable drug administration, today ... before the market opens on Thursday, October 26, 2017, ... the results and business expectations at 9:00 a.m. Eastern ... (U.S.) or 253-336-8738 (International). The conference ID is 94093362. ...
(Date:10/10/2017)... Calif. , Oct. 10, 2017  NDS received FDA 510(k) ... — a medical-grade battery-powered display stand specifically designed for endoscopy environments. ... transform technology into a clinical solution to support the improvement of ... Innovative Design ... Mobile Wireless Solution ...
(Date:10/4/2017)... Oct. 4, 2017  According to the Centers for Disease Control and ... October . PhysicianOne Urgent Care is helping communities across Massachusetts ... , by offering no-cost* flu shots through the end of the ... certain health insurance regulations. ... time to get a flu shot is by the end of October, ...
Breaking Medicine Technology: