Early Experience of Financial Performance and Solvency of Medicaid-Focused Insurers Under ACA Expansion

2016 ◽  
Vol 74 (6) ◽  
pp. 750-762 ◽  
Author(s):  
Michael J. McCue
Keyword(s):  
Financial Performance ◽  
Affordable Care Act ◽  
First Year ◽  
State Health ◽  
Medicaid Coverage ◽  
Administrative Costs ◽  
Operating Profit ◽  
Solvency Ratio ◽  
Medical Loss Ratio ◽  
Health Insurers

To allow for greater coverage of the uninsured, the Affordable Care Act expanded Medicaid coverage in 2014. Accessing financial data of state health insurers from the National Association of Insurance Commissioners, this data trend study compares the financial performance and solvency of Medicaid-focused health insurers prior to and after the first year expansion of Medicaid coverage. After the first year of Medicaid expansion, there was a significant increase in operating profit margin ratio for Medicaid-focused health insurers within expansion states. Lower medical loss ratio as well as no change in administrative costs contributed to this profitable position. The risk-based capital ratio for solvency increased significantly for health insurers in nonexpansion states while there was no change in this ratio for health insurers in expansion states. Conversely, the other important solvency ratio of cash flow margin increased significantly for health insurers in expansion states but not for insurers in nonexpansion states.

Financial Performance of Health Insurers: State-Run Versus Federal-Run Exchanges

2017 ◽  
Vol 75 (3) ◽  
pp. 384-393 ◽  
Author(s):  
Mark A. Hall ◽  
Michael J. McCue ◽  
Jennifer R. Palazzolo
Keyword(s):  
Financial Performance ◽  
Affordable Care Act ◽  
First Year ◽  
Policy Makers ◽  
Administrative Costs ◽  
Individual Market ◽  
The Difference ◽  
The Individual ◽  
Financial Losses ◽  
Health Insurers

Many insurers incurred financial losses in individual markets for health insurance during 2014, the first year of Affordable Care Act mandated changes. This analysis looks at key financial ratios of insurers to compare profitability in 2014 and 2013, identify factors driving financial performance, and contrast the financial performance of health insurers operating in state-run exchanges versus the federal exchange. Overall, the median loss of sampled insurers was −3.9%, no greater than their loss in 2013. Reduced administrative costs offset increases in medical losses. Insurers performed better in states with state-run exchanges than insurers in states using the federal exchange in 2014. Medical loss ratios are the underlying driver more than administrative costs in the difference in performance between states with federal versus state-run exchanges. Policy makers looking to improve the financial performance of the individual market should focus on features that differentiate the markets associated with state-run versus federal exchanges.

scholarly journals ANALISIS RASIO KEUANGAN SEBAGAI ALAT UKUR KINERJA PERUSAHAAN PADA PT. ASTALIA MILLENIA EDUCATINDO CABANG MADIUN

2013 ◽  
Vol 2 (1) ◽  
pp. 25
Author(s):  
Satrijo Budi Wibowo
Keyword(s):  
Financial Performance ◽  
Balance Sheet ◽  
Financial Statements ◽  
Profit Margin ◽  
Financial Condition ◽  
Operating Profit ◽  
Total Debt ◽  
Income Statement ◽  
And Performance ◽  
Solvency Ratio

<span>This study aims to determine the company's financial performance , both in terms of liquidity, solvency, profitability and activity of PT .Millennia Astalia Educatindo Madiun from 2010 until 2012. The processed data is the data that comprises the financial statements of the balance sheet and income statement. Methods of data processing by using ratio analysis consisting of the ratio liquidity, profitability, solvency and activities. The method used is descriptive method, the research seeks to collect and present data from the company to be analyzed so as to provide a fairly clear picture of the object under study. Because of financial ratios is one tool in evaluating the company's financial condition and performance , it is expected that through the analysis of financial statements may consideration in making decisions, especially regarding the financial condition in the future. Besides, the analysis of financial statements to describe the company's actual financial performance. The results showed that the ratio of liquidity include the current ratio and quick ratio increased, although still below the industry average. For profitability ratios include gross profit margin and operating profit margin increased in 2012 despite the decline was due to the increased cost of goods sold. Solvency ratios while covering a total debt to equity ratio and total debt to capital assets shows a marked improvement by decreasing solvency ratio from year to year. Nonetheless Solvency ratio still can’t to be categorized either as it is still above the industry average. The ratio of activity which includes receivable turnover and total asset turnover has fluctuated, rising in 2011 but dropped in 2012. Nonetheless Activity ratios are well below the industry average, which means the company has not been effective in utilizing existing resources.</span>

Key drivers of financial performance of insurers in the Affordable Care Act market exchange

2019 ◽  
Vol 33 (3) ◽  
pp. 130-135
Author(s):  
Michael McCue ◽  
Mark A Hall ◽  
Jennifer Palazzolo
Keyword(s):  
Financial Performance ◽  
Affordable Care Act ◽  
Market Exchange ◽  
Loss Ratio ◽  
Publicly Traded ◽  
Publicly Traded Companies ◽  
Medicaid Population ◽  
Individual Market ◽  
The Affordable Care Act ◽  
Medical Loss Ratio

While most publicly-traded insurers have experienced losses and exited the Affordable Care Act individual insurance market exchange, insurers specializing in Medicaid managed care have been profitable in this market. Accessing individual market data, this study compares the financial performance of 20 state insurers owned by two publicly-traded companies that historically focused on insuring Medicaid members compared to 40 insurers owned by other publicly-traded companies. Medicaid-focused insurers incurred a significantly lower medical loss ratio of 83.3% compared to the medical loss ratio of 93.7% of other publicly-traded insurers, and they earned a significantly higher profit margin of 4.6% compared to the operating loss of 6.5% incurred by other publicly-traded insurers. This superior financial performance of Medicaid-focused insurers could be due to one or a combination of: their care management experience with the Medicaid population, other cost reducing strategies such as provider contracting, or the enrollment of a healthier than average population.

scholarly journals Role of Solvability Ratio of Financial Performance at Pt. Orientama Lintas Buana

2020 ◽  
Vol 5 (7) ◽  
pp. 98-103
Author(s):  
Riska Yulianti ◽  
Erry Rimawan ◽  
Cecep Hermawan ◽  
Febry Wonggiawan
Keyword(s):  
Corporate Finance ◽  
Financial Performance ◽  
Ratio Analysis ◽  
Debt Ratio ◽  
Corporate Capital ◽  
Operating Profit ◽  
Asset Quality ◽  
Solvency Ratio

Financial performance of PT. Orientama Lintas Buana in the period 2014 to 2016 based on solvency ratio analysis experiencing instability financial performance and decline in operating profit. The formulation of the problem in this study is whether the instability of financial performance and the decrease in operating profit seen from the period 2014 to 2016 has an important role to the financial performance of the company. The result of the research shows that PT. Orientama Lintas Buana in general has a good financial performance when examined from asset quality where the debt ratio to corporate assets in 2015 decreased compared to 2014 and 2016 and debt ratio to corporate capital in 2015 decreased compared to 2014 and 2016. Performance corporate finance is less good when viewed from the ratio of operating profit to liabilities where from 2014 to 2016 this ratio has decreased, this condition shows the company has not been able to perform efficiency over the operational expenses are too large.

ANALISIS RASIO UNTUK MENGUKUR KINERJA KEUANGAN PERUSAHAAN (STUDI KASUS PADA PT MEKAR KARYA PRATAMA)

2019 ◽  
Vol 9 (1B) ◽  
pp. 15
Author(s):  
Rizki Ahmad Fauzi
Keyword(s):  
Financial Performance ◽  
Financial Statements ◽  
Corporate Activity ◽  
Significant Change ◽  
Overall Ratio ◽  
The Impact ◽  
Solvency Ratio

Based on the results of the analysis of the ratio of the financial statements can be seen from liquidity ratio in 2010 can already be said to be liquid and in 2011 occurred very significant increase in this ratio that makes the company's liquidity to be too high. Judging from the solvency ratio, in 2010 the company could not be said solvable because the value of this ratio is still quite high. However, in 2011 this ratio decreased significantly which shows that the company can already be said to be solvable. From the ratio of the activity, in 2010 and 2011 the ratio of corporate activity can already be said to be good. Despite the decrease from 2010 to 2011 on some of these ratios, but the overall ratio of activity of the company is good enough. Judging from the ratio of profitability, in 2010 and 2011 the profitability of the company can not be said to be good because it is still very low and no significant change from the year 2010 to the year 2011 for this ratio.The overall financial performance of PT Mekar Karya Pratama from year 2010 to year 2011 can be said to be good, although there are some things that must be considered and they should be repaired as liquidity is too high which causes the idle funds and the impact on the profitability is low. Keyword:Rasio Analysis

scholarly journals ANALISIS KINERJA KEUANGAN PADA PT. HANJAYA MANDALA SAMPOERNA Tbk.

2017 ◽  
Vol 12 (2) ◽  
Author(s):  
Rona Rosy Nimiangge ◽  
Harijanto Sabijono ◽  
Hendrik Gamaliel
Keyword(s):  
Financial Performance ◽  
Activity Ratio ◽  
Financial Analysis ◽  
Information Source ◽  
Profit Margin ◽  
Financial Statement ◽  
Operating Profit ◽  
Net Profit ◽  
Turn Over ◽  
Profitability Ratios

Development in technology that happen continuously have made the skills in financial analysis are more needed. Financial statement are the information source for financial position and company financial ferformance analysis.Evaluation of company financial performance in this research  using activity ratio and profitability ratio. This research using PT. Hanjaya Mandala Sampoerna Tbk as objek, this decision are based as 1 of 4 big company in cigarettes industry in Indonesia. The summary problem  in this research is,” How the financial performanceat PT. Hanjaya Mandala Sampoerna Tbk. Based on activity ratio and profitability ratio for year 2015 and 2016?” The activity ratios are calculated with account receivable Turn Over,Inventory Turn Over, Total Asset Turn over,Otherwise Profitability Ratio are calculated with Gross profit  Margin, Operating Profit Margin, and Net Profit Margin. The results showed that the ratios of poor activity were seen from the decline in value in the period 2015-2016, while the profitability ratios increased in the period 2015- 2016 which indicates the company's ability to generate profits has increased.Keywords : Financial Performance Analysis, Activity, Profitability

scholarly journals ANALISIS KINERJA KEUANGAN PERBANKAN SYARIAH INDONESIA PADA MASA PANDEMI COVID-19

2021 ◽  
Vol 1 (1) ◽  
pp. 111-125
Author(s):  
Sri Diana ◽  
Sulastiningsih Sulastiningsih ◽  
Endar Sulistya ◽  
Purwati Purwati
Keyword(s):  
Financial Performance ◽  
Quantitative Research ◽  
Banking Industry ◽  
Financial Sector ◽  
Bank Performance ◽  
Islamic Banking ◽  
Important Thing ◽  
Bank Solvency ◽  
Solvency Ratio ◽  
Profitability Ratios

Financial sector is an important thing for a country development. Indirectly, the financial sector will support the economy especially during the pandemic, including the Islamic banking industry. This study aims to analyze the financial performance of Islamic banking in Indonesia based on profitability ratios consisting of BOPO, ROA, ROE, liquidity ratios consisting of Cash ratio and FDR, as well as solvency ratios as measured by the CAR ratio, during the COVID-19 pandemic. This research is descriptive quantitative research by measuring the financial performance of the bank through the level of profitability ratios. The results of this study show that there is a fluctuation changing in the performance values during the COVID-19 pandemic. Bank performance through profitability ratios shows that some sharia banks are classified as efficient and some have decreased the performance. In the liquidity ratio, the average bank experienced a decline in the cash ratio component, with the lowest being at BRI Syariah, which fell by 50.9%. Bank solvency ratio generally shows good performance.

scholarly journals Pengunaaan Analisis Rasio dalam Pengukuran Kinerja Keuangan Perusahaan pada PT. Gudang Garam Tbk

2019 ◽  
Vol 3 (1) ◽  
pp. 43-48
Author(s):  
Sayekti Suindah Dwiningwarni ◽  
Judi Suharsono ◽  
Dian Yuliana Safitri
Keyword(s):  
Financial Performance ◽  
Descriptive Analysis ◽  
Company Performance ◽  
Quantitative Descriptive Analysis ◽  
Financial Condition ◽  
Short And Long Term ◽  
Quantitative Descriptive ◽  
Solvency Ratio ◽  
Profitability Ratios

The motivation of this research is research (Rosini & Gunawan 2018; B.Batchimeg 2017). In addition, the motivation of this study also continued the research of Sayekti Suindyah Dwiningwarni (1997). The purpose of this study (1) to analyze the development of corporate financial performance from solvency and profitability ratios; (2) to analyze the measurement of the company's financial performance using solvency and profitability ratios. This research uses quantitative descriptive analysis method.The results of the study (1) the development of the company's financial performance in terms of solvency ratios experienced good development, this is indicated by the value of the solvency ratio that is getting better / better in fulfilling both short and long term obligations; (2) the development of the company's financial performance in terms of profitability ratios from experiencing good development, this is indicated by the value of the profitability ratio that is getting better / better in generating profits or profits; (3) measurement of company performance in terms of solvency ratio shows solvable conditions, meaning the assets is greater than the debt. (4) measurement of company performance in terms of profitability ratios shows good conditions, meaning the level of profits obtained from year to year has increased. This means that the company is in good financial condition and sovabel.

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