May 13, 2015 - Actuarial Committee Update

Posted Date: May 13, 2015
    

Industry InformationNCCI Actuarial Committee

The Actuarial Committee met on Wednesday, May 13, 2015. The major topics covered at this meeting included:

  • Class Ratemaking Research–Credibility (ACT-15-04)
    At the meeting, staff compared the credibility standards established in 2009 using loss costs derived by the serious/non-serious class ratemaking methodology to indicated credibility based on loss costs filed subsequent to 2009 using the likely/not-likely class ratemaking methodology.
  • Class Ratemaking Research–Severity Estimators (ACT-15-05)
    Staff presented new analysis focused on State Hazard Group severity as an estimator of class severity.
  • Legislative Analysis–Closed Drug Formularies: NCCI Methodology for Legislative Pricing (ACT-15-07)
    At the meeting, staff presented background information and discussed relevant statistics, key features and considerations in estimating the cost impact of implementing a closed drug formulary.
  • NCCI Experience Rating Plan Methodology and Performance (ACT-15-07)
    At the meeting staff presented a proposal for indexing the experience rating premium eligibility threshold (PET) across states.

Please refer to the minutes of the meeting for any pertinent discussion on each topic. The presentation for each of the listed topics is contained in either the agenda or the minutes for the meeting as indicated in the Related Links section of this article.

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May 13, 2015 Agenda (PDF) 

  • Class Ratemaking Research–Credibility (ACT-15-04)
  • Class Ratemaking Research–Severity Estimators (ACT-15-05)
  • Legislative Analysis–Closed Drug Formularies: NCCI Methodology for Legislative Pricing (ACT-15-07)

May 13, 2015 Minutes (PDF)

  • NCCI Experience Rating Plan Methodology and Performance (ACT-15-07)