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Old 11-15-2017, 09:56 AM
FlyingCrab FlyingCrab is offline
Join Date: Nov 2009
Posts: 58
Default Group Medical: how to determine risk margin for experience rating

Dear all,

How should an insurer determine the appropriate risk margin(s) for experience-rated groups? Here I assume that the risk margin should be adequate to cover potential fluctuations of expected/projected claim cost. By "risk margins" I am thinking that different types/groupings (e.g., size) may have different assignment.

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