Health Risk Based Capital

[vincentvega]

I am trying to develop expertise in the above area. Links to websites or directions on where one can obtain materials on the above topic would be greatly appreciated.

I have tried the NAIC website and could not find anything of substance. I did not find anything in the AAA website either. Perhaps I'm not looking in the right areas.

Any guidance would be appreciated.

VV

[Dr T Non-Fan]

From what I've read, all of the risk (unless your surplus is in risky assets) resides in pricing.
(LTC being an exception, of course.)
I.e., nothing could be so bad that a rate action in the next year couldn't cure.

[fsa]

For AAA, go to http://www.actuary.org/naic.htm and scroll down to the Health section to get the latest on RBC and health.

Another good source is the forecasting diskette from the NAIC. The directions about RBC provide a lot of background info. Plus there is the worksheet itself. The new diskette does not come out until October. However, I am sure you could get last year's version. http://www.naic.org/insprod/catalog_...tm#rbc_forcast

One final comment - are you looking at health rbc within a life insurance company (i.e., you file a blue annual statement) or as part of some health organization (you file an orange (?) annual statement). The RBC treatment differs.