Research Brief

Micro and Macro Approaches to Margin Risk Mitigation for Managed Care Plans

Payers
Learning Management and Training
Research Brief
Risk Management/Mitigation
Risk Mitigation for MCOs White Paper

Download this research brief to learn:

  • What the Kaiser Family Foundation’s national Medicaid managed care plan survey numbers say and how can they help you move forward with new initiatives in the context of potential budget cuts
  • How near-future challenges and budget cuts could reduce an MCO’s current $11 profit PMPM to a loss of $21 to $48 PMPM in just four years
  • A brief scope of the problem and how to weave together risk reduction strategies that managed care organizations should consider

How to reduce costs and maintain your current margins

Virtually all organizations engage in risk management, but what specific strategies can managed care organizations (MCOs) adopt to increase their success in both cost and care outcomes?

This white paper dives into actuarial graphs and calculations produced from the Kaiser Family Foundation’s national Medicaid managed care plan survey data to give executives insight into baseline margin growth projections at several rate cuts and growth rates, as well as possible ways to address the threat of small margins turning into large deficits in the coming years.

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