The effects of reinsurance in financing children's health care.
This paper examines the effects of reinsurance on the financial performance of health plans serving enrollees in a State Children's Health Insurance Program (SCHIP). We demonstrate that simple reinsurance policies can reduce substantially the variation in the financial performance of plans with different case mixes, even when the plans bear the cost of the reinsurance and are not fully insured against large expenditures on individual enrollees.
Sappington
David E M
DE
Department of Economics, University of Florida, P.O. Box 117140, Gainesville, FL 32611-7140, USA. sapping@UFL.edu
Aydede
Sema K
SK
Dick
Andrew
A
Vogel
Bruce
B
Shenkman
Elizabeth
E
D002648:Child; D002662:Child Health Services / Q000191:economics* / Q000458:organization & administration; D019538:Health Care Surveys; D006801:Humans; D019458:Insurance Coverage / Q000191:economics* / Q000458:organization & administration; D007348:Insurance, Health / Q000191:economics*; D013221:State Health Plans / Q000191:economics* / Q000458:organization & administration; D014481:United States