Scoring & Metrics for Stop Loss Group
Capture Spec +
Loss Ratio prediction factor.
Capture Spec+ is a factor at both the group and individual level, providing insight into the excess claiming experience expected to occur over the following 12 months above the assigned specific deductible. Normalized on the experience of over 10,000,000 members with 100% loss ratio at 70% RTM. Capture Spec+ / Capture Agg+ is the predicted loss ratio after applying manual and with (without) spec deductible levels factored in.
Example: 0.65
Interpretation: 65% expected loss ratio prior to subjective retention.
Capture Spec Claims+
Verikai adjusted Age, Gender, and Geography spec manual factor.
Capture Spec Claims+ is the adjusted base spec manual factor at both the group and individual level, providing insight into the claims exceeding the spec deductible expected to occur over the following 12 months. Capture Spec Claims+ adjusts the spec manual’s age, gender, and geography factors to include behavioral variation on the same scale.
Example: 0.65
Interpretation: 0.65 * base rate to get the expected spec premium assignment.
Capture Spec Profit+
Verikai spec margin prediction factor.
Capture Spec Profit+ is a prediction of spec margin, providing insight into the assigned spec premium minus claims exceeding spec deductible expected to occur over the following 12 months. Normalized on the experience of over 10,000,000 members with 100% loss ratio at 40% RTM, Capture Spec Profit+ is baselined at 0.0 as an absolute, not relative, factor. Values less than 0 signal that the claims exceeding the spec deductible will come in lower than the assigned spec premium.
Example: -1.04
Interpretation: Total spec margin predicted to be 1.04x the base spec premium rate.
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