Here are all the articles I've written about Actuary. Enjoy!

July 9th, 2014

Long-Term Care Clarity!

Does Medicare cover long-term care expenses?  The answer may surprise you!


There was a neat article this week in the LA Times about Long-Term Care Insurance which spelled it out very nicely.


If you haven’t given much thought to how you’d pay for long term care expenses, you’re not alone.    Most of us haven’t.   But, the BIG question is:   Would you be able to afford it?


In California, the average annual cost for long term care – today — is about $82,000 a year.  Wow, that hurts!   If you cover your ass(ets) and get long-term care insurance, you’ll significantly reduce your costs.


So . . . DOES Medicare cover LTC?  No!     Does your health insurance cover LTC?   No!


Not a happy prospect.   We are all about protecting your money over here, so it may be time for you to start thinking about it, too.  Remember: the younger you are when you plan ahead the more you save.  The ‘Mom’ only wants what’s best for her little kiddies!


Educate yourself on the details of the ins and outs with the article here and contact The Insurance Mom for a chat about your future.  Mind your P’s and Q’s and you’ll be taken care of . . . long-term.…

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April 29th, 2010

For Your Immediate Reading – Anthem Blue Cross will not be raising rates

As I told you at the beginning of this actuarial dance, the State’s findings will be different from those of Anthem BC’s.  Et voila!  As a result of the State’s actuarial analysis, the following is hot off the presses:

Commissioner Poizner released the following statement today regarding Anthem’s decision to withdraw its rate filing:

“This is a great victory for California consumers. I’m pleased that California consumers will not face rate hikes of up to 39 percent. In late January, because I was highly skeptical of the rate increase, I ordered an outside review to ensure that Anthem’s filing complied with state law. Anthem agreed to delay their increase pending this review. The independent actuarial analysis found numerous and substantial errors in their filing that would have led to massive and unjustified rate increases.  We notified Anthem of these errors and they admitted to the mistakes.”

The independent, outside actuarial analysis was performed by Axene Health Partners, LLC. The report was conducted over a 10-week period and required 500 hours of work by four licensed actuaries. The summary of the review is available at and the entire report is expected to be completed next week.

[Or you can simply read the initial report.]

Based upon a thorough review of Anthem’s calculations, Axene found numerous errors in the methodology used by Anthem to project total lifetime loss ratios. Correcting these errors resulted in lower lifetime loss ratios than initially calculated by Anthem.

The errors identified included:

  • Error #1: Double counting of aging in the calculation of underlying medical trend for the projection of total lifetime loss ratio.
  • Error #2: Anthem overstated the initial medical trend used to project claims for September 2009 for known risk factors.

Both of these errors are errors of math and not differences in actuarial …

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April 24th, 2010

Anthem Blue Cross alert

For subscribers in California, Anthem Blue Cross has announced that it will NOT be increasing individual premiums on 5/1/10 and for the foreseeable future, or at least until the State’s actuaries have completed their analysis of the proposed increase that had been scheduled for 3/1/10.    The company must give subscribers a 30-day written notice prior to increasing premiums.    Read the whole article.

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February 15th, 2010

More news for Anthem Blue Cross members

This past weekend Anthem BC announced that, due to public and political reactions, the anticipated 3/1/10 rate changes have been postponed for a couple of months, to 5/1/10.

Prior to an insurance carrier raising rates, CA State law says an insurer must prove that at least 70% of its income (your insurance premiums) is legitimately being spent on your medical expenses.   Once the insurance company files the actuarially prepared documents, and the data is approved by the State, then the company can raise its rates.    CA Insurance Commissioner Steve Poizner’s office approved Anthem BC’s actuarial data in November, 2009.   But that wasn’t made public.

Now, Commissioner Poizner has appointed an outside insurance actuary to review Anthem BC’s data.   Needless to say, we all know that number crunching is an art not a science, right?   Numbers can be crunched to skew one way or the other, depending on who’s doing the crunching.

I think it’s pretty safe to say that the State-appointed actuary’s review will result in completely different findings than that previously provided by Anthem BC.

So, for at least the next couple of months while the State’s review is being conducted, there will be no rate increases from Anthem BC.   I’ll be very interested to see what they ultimately do.

And one more little tidbit of clarification… as seemingly outraged as the Obama administration and HHS Secretary Kathleen Sebelius may be, remember that the Federal government has no jurisdiction over the states and how each state constructs and mandates its insurance laws.

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