New Findings from University of Pennsylvania in Risk Management Provides New Insights (Exit, Voice, or Loyalty? an Investigation Into Mandated Portability of Front-loaded Private Health Plans)

2019 AUG 29 (NewsRx) -- By a News Reporter-Staff News Editor at Insurance Daily News -- Data detailed on Risk Management have been presented. According to news reporting from Philadelphia, United States, by NewsRx journalists, research stated, “We study theoretically and empirically how consumers in an individual private long-term health insurance market with front-loaded contracts respond to a newly mandated portability requirement of their old-age provisions. To foster competition, effective 2009, the German legislature made the portability of standardized old-age provisions mandatory.”

Financial support for this research came from German Federal Ministry of Education and Research.

The news correspondents obtained a quote from the research from the University of Pennsylvania, “Our theoretical model predicts that the portability reform will increase internal plan switching. However, under plausible assumptions, it will not increase external insurer switching. Moreover, the portability reform will enable unhealthier enrollees to reoptimize their plans.”

According to the news reporters, the research concluded: “We find confirmatory evidence for the theoretical predictions using claims panel data from a big private insurer.”

For more information on this research see: Exit, Voice, or Loyalty? an Investigation Into Mandated Portability of Front-loaded Private Health Plans. Journal of Risk & Insurance, 2019;86(3):697-727. Journal of Risk & Insurance can be contacted at: Wiley, 111 River St, Hoboken 07030-5774, NJ, USA. (Wiley-Blackwell - http://www.wiley.com/; Journal of Risk & Insurance - http://onlinelibrary.wiley.com/journal/10.1111/(ISSN)1539-6975)

Our news journalists report that additional information may be obtained by contacting J.P. Atal, University of Pennsylvania, Dept. of Economics, 3718 Locust Walk, Philadelphia, PA 19104, United States. Additional authors for this research include H.M. Fang, M. Karlsson and N.R. Ziebarth.

The direct object identifier (DOI) for that additional information is: https://doi.org/10.1111/jori.12233. This DOI is a link to an online electronic document that is either free or for purchase, and can be your direct source for a journal article and its citation.

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