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Risk Adjustment Methodology Overview

Risk Adjustment Methodology Overview DEPARTMENT OF HEALTH AND HUMAN SERVICES. CENTERS for MEDICARE & MEDICAID SERVICES. Center for Consumer Information and Insurance Oversight Health Insurance Exchange System-Wide Meeting May 21-23, 2012. Contents Background HHS-developed risk Adjustment Methodology Risk Adjustment model Payment transfers State alternate methodologies Note: see also presentations at : #fm 2. CONTEXT. The contents of this presentation represent preliminary information with the purpose of soliciting stakeholder feedback. Draft policies for the risk Adjustment program will be announced in the draft HHS notice of benefit and payment parameters, which will be subject to comment before finalized.

– More accurately reflects plan liability for people with higher ... – Age (up to 3:1) – Tobacco use (up to 1.5:1) ... – Provide a practical and straightforward approach to calculating transfers • Aim is for transfers that promote premiums that reflect

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  Risks, Adjustment, Calculating, Accurately, Risk adjustment

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