Description: Although rate structures where low-cost cohorts subsidize high cost cohorts may be justified from a actuarial, marketing, or legal standpoint, the subsidization creates risks which must be understood and monitored. This article presents the concept of subsidization signature to measure and interpret the effects of rate subsidization, and to assess the sustainability of rating structures and the sensitivity of business mix assumptions.

Description: Statistics were invented to describe heterogeneity and are now applied to tackle alea. It may not be appropriate. Let's clarify their field of relevance.

Description: Risk and Rewards February 2014 Issue 63 Information Discovery and Knowledge Management: How Ebsco Can Help You Build Your Own Information Pyramid

Description: This article provides a detailed description of the unbalanced subsidy provisions in the Affordable Care Act with easy to follow numerical illustrations. An understanding of the illustrative calculations is necessary to understand the subsidy implications. The article highlights some surprising and likely unintended results that will be interest to issuers, employers, consumers, regulators and policymakers. Actuaries can add expertise to their clients and to the public discussion with a proper understanding of the subsidy calculations and the resulting implications.

Description: Other articles that will be of interest to readers.

Description: Hear from the editor’s on the March 2018 issue of Risk Management published by the JRMS.

Description: This article describes how we can choose to accept our setbacks in life and in our careers, or challenge ourselves to push through them.

Description: In the process of getting credentialed, there are more important things than a passing score. Life is not about numbers but transferable behaviors.

Description: The author encourages the use of sound actuarial principles to develop reasonable retirement spending budgets instead of rule of thumb approaches commonly used.