The Lebanese government and insurance companies can and should set up a
risk pool -- using international best practices -- to respond to a shrinking supply of political violence coverage and increasing premiums.
By 2000, the number of states operating high
risk pools had grown to twenty-seven.
Furthermore, these dynamics make even existing
risk pools in the individual and small group markets unstable and limit the type of insurance products available.
Early indications are that Kansas DMIE participants receiving Medicaid-like coverage are experiencing less decline in their overall health than a control group receiving standard
risk pool coverage.
Insurers use underwriting to maintain a predictable and stable level of risk within their
risk pools. Underwriting is the process of deciding whether or not to accept an applicant for coverage, and determining the terms of coverage.
This is often referred to as self insurance or risk retention, in which, for example, a government would pay out-of pocket the cost of an incident under a certain dollar threshold (larger catastrophic losses would still be shifted to either an insurance company or "
risk pool").
Estimate the size of each
risk pool for the next 12 months:
BOB formats vary among companies, but all EOBs should list the agreed-to-pay fee, the amount of the patient's copayment (copay), the amount of money the physician pays to the
risk pool, and the amount of money the company actually pays the physician (amount paid).
Notions of solidarity are both implicit within and consequent upon choices of with whom to pool risks, with people who face similar risks sharing the same
risk pool (and conversely).
Instead of letting these low-cost policies be bid away, the insurer willingly allows them to be separated from the general
risk pool with a more attractive premium.
NIAC, a nonprofit insurance
risk pool, is a member of the Nonprofits Insurance Alliance.
While CCRIF was the first multinational
risk pool, the model has gained momentum in recent years as several new facilities have opened for business:
