period $5,788.0 $5,290.3 $4,853.4
Current year medical claims paid as
a percent of current year net
incurred medical claims 87.9% 88.0% 88.2%
Prior year redundancies in the
current period as a percent of prior
year net medical claims payable less
prior year redundancies in the
current period 6.8% 14.7% 18.7%
Prior year redundancies in the
current period as a
percent of prior year net
incurred medical claims -
as reported (2) 0.8% 1.9% 4.2%
Prior year redundancies in the
current period as a percent of prior
year net incurred medical claims -
adjusted for acquisitions (2) 0.8% 1.6% 2.1%
(1) Negative amounts reported for net incurred medical claims related to
prior years result from claims being settled for amounts less than
originally estimated.
(2) For all periods presented, except for the year ended December 31,
2007, the reported ratio of prior year redundancies in the current
period to prior year net incurred medical claims is impacted by
certain acquisitions (the former WellChoice, Inc. in 2005 and the
former WellPoint Health Networks Inc. in 2004). The Company has
provided ratios adjusted for these acquisitions in order to
demonstrate these impacts. Refer to the table entitled,
"Reconciliation of Medical Claims Payable - Adjusted Ratios" for
details regarding the respective calculation methodologies.
WellPoint, Inc.
Reconciliation of Medical Claims Payable - Adjusted Ratios
(Unaudited)
Note: Below are reconciliations for the adjusted
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