Category Archives: Research

Top 15 global articles and reports for 2017

Milliman’s most viewed articles worldwide in 2017 covered topics related to healthcare in the United States, the rise of InsurTech, and the challenges of IFRS 17. (For summaries and links to all of the articles, click here.)

Here is the list of the top global articles and reports for the year:

15. MACRA: Key Considerations for health plans, By Colleen Norris and Mary van der Heijde

14. Multiemployer Pension Funding Study, By Kevin Campe

13. The American Health Care Act, By Jason Karcher

12. MACRA and Medicare Advantage plans: Synergies and potential opportunities, By Christopher Kunkel, Drew Osborne, Lynn Dong, Michael Polakowski, Noah Champagne, and Charlie Mills

11. Effective employee communication: The benefits of best practices, By Jessica Gonchar, Heidi tenBroek, and Sharon Stocker

10. Building blocks: Block grants, per capita caps, and Medicaid reform, By Justin Birrell, Jennifer Gerstorff, Nicholas Johnson, and Brad Armstrong

9. Overview and practical considerations of the new insurance contract standard: IFRS 17, By Gillian Tucker and Andrew Kay

8. InsurTech: Innovation in the P&C insurance space, By Thomas Ryan

7. The employer stop-loss insurance marketplace since the Affordable Care Act, By Mehb Khoja

6. 2017 Public Pension Funding Study, By Rebecca Sielman

5. Summary of individual market enrollment and Affordable Care Act subsidies, By Paul Houchens, Jason Clarkson, and Zachary Fohl

4. Impact of the transition from RAPS to EDS on Medicare Advantage risk scores, By Deana Bell, David Koenig, and Charlie Mills

3. Corporate Pension Funding Study, By Zorast Wadia, Alan Perry, and Charles Clark

2. Pension Funding Index, By Zorast Wadia and Charles Clark

1. Milliman Medical Index, By Christopher Girod, Susan Hart, and Scott Weltz

Individual disability income (IDI) companies see jump in combined new sales after market shake-up, according to Milliman report

Milliman has released the results of its latest Individual Disability Income (IDI) Market Survey. The report, in its 10th edition, measures sales trends across 14 IDI companies, representing 90% of the market. The survey also covers recent changes in underwriting and products, the range of views that companies have on the current profitability of their business, and the favorable and unfavorable trends that can affect the long-term profitability of the IDI market. New this year, the report also includes a section discussing companies’ progress implementing the new 2013 Valuation Table.

Key findings include:

• Combined IDI new premium from the 14 IDI companies increased in 2016 by 1.3%, compared to 5.7% in 2015. Combined IDI new premium year-to-date through June 30, 2017, increased by 9.0% over the prior year.
• New premium from the employer-sponsored multilife market exceeded 43% of total IDI new premium in 2015 and 2016.
• There is continued stability in the share of new IDI premium from doctors.
• The share of new IDI premium issued using voluntary guaranteed standard issue (GSI) underwriting was 32% and 34% in 2015 and 2016, respectively.

The decision of a major player to exit the individually sold IDI market this past year appears to be benefiting other IDI companies in 2017, as they take on a portion of those sales. We believe this is a short-term impact. In the longer term, overall IDI market growth may be constrained by the loss of one of the larger writers of IDI business.

To download the full IDI Market Survey, click here.

Prevalence, treatments, and medical cost of multiple sclerosis in Japan

The prevalence of multiple sclerosis (MS) in Japan is relatively low compared with that in the United States and Europe. However, the number of MS patients in Japan has been steadily increasing in recent years. This article coauthored by Milliman’s Kosuke Iwasaki and Yusuke Nakamura analyzes health insurance claims data to determine the current treatment status and medical cost of MS in Japan.

This article was originally published in Clinical and Neuroimmunology.

Summary of key results from 2016 U.S. Group Disability Market Survey

The 2016 U.S. Group Disability Market Survey covers employer-paid and employee-paid short-term disability and long-term disability insurance products and includes an analysis of premiums, cases, and covered lives from new sales and in-force business in 2015 and 2016. Twenty disability insurance companies contributed to the 2016 survey. Milliman consultants Paul Correia and Jennifer Fleck offer some perspective.

Favorable signs emerging from new individual disability income (IDI) sales, according to Milliman report

beal_robertMilliman today released the results of its latest Individual Disability Income (IDI) Market Survey report. The report, in its ninth edition, measures sales trends across 15 IDI companies, representing 90% to 95% of the market. The survey also covers recent changes in underwriting and products, the range of views that companies have on the current profitability of their business, and the favorable and unfavorable trends that can affect the long-term profitability of the IDI market.

The 2016 survey results identify some very favorable trends, including:

• A combined new annualized premium of $392.2 million, highest since the 1990s
• A solid 5.8% growth in new annual premium from 2014 to 2015
• New premium from the employer-sponsored multi-life market exceeding 40% of total IDI new premium in 2014 and 2015
• A stabilization in the share of new IDI premium from doctors
• A reduction in the share of new IDI premium issued using voluntary guaranteed standard issue (GSI) underwriting

It’s been a tumultuous 10 years for individual disability income carriers. What Milliman’s IDI Market Survey reveals is that 2016 presents a much healthier picture of the market than in many years past. The survey sheds light on the causes and trends behind this optimistic outlook, and is a valuable resource for any companies looking to mitigate risk in a competitive environment.

To read the entire IDI Market Survey report, click here.

For more information email me.

Long-term care insurance valuation: An industry survey of assumptions and methodologies

Milliman consultants Al Schmitz, Daniel Nitz, Tim Kempen have published a long-term care (LTC) insurance valuation survey. The survey reviews and documents the assumptions and methodologies related to the determination and testing of active life and disabled life reserves as well as the asset strategies and investments backing the reserves.

To download the research report, click here.