Health Net 2013 Annual Report Download - page 78
Download and view the complete annual report
Please find page 78 of the 2013 Health Net annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
1 -
2
-
3
-
4
-
5
-
6
-
7
-
8
-
9
-
10
-
11
-
12
-
13
-
14
-
15
-
16
-
17
-
18
-
19
-
20
-
21
-
22
-
23
-
24
-
25
-
26
-
27
-
28
-
29
-
30
-
31
-
32
-
33
-
34
-
35
-
36
-
37
-
38
-
39
-
40
-
41
-
42
-
43
-
44
-
45
-
46
-
47
-
48
-
49
-
50
-
51
-
52
-
53
-
54
-
55
-
56
-
57
-
58
-
59
-
60
-
61
-
62
-
63
-
64
-
65
-
66
-
67
-
68 -
69 -
70 -
71 -
72 -
73 -
74 -
75 -
76 -
77 -
78 -
79 -
80 -
81 -
82 -
83 -
84 -
85 -
86 -
87 -
88 -
89
-
90
-
91
-
92
-
93
-
94
-
95
-
96
-
97
-
98
-
99
-
100
-
101
-
102
-
103
-
104
-
105
-
106
-
107
-
108
-
109
-
110
-
111
-
112
-
113
-
114
-
115
-
116
-
117
-
118
-
119
-
120
-
121
-
122
-
123
-
124
-
125
-
126
-
127
-
128
-
129
-
130
-
131
-
132
-
133
-
134
-
135
-
136
-
137
-
138
-
139
-
140
-
141
-
142
-
143
-
144
-
145
-
146
-
147
-
148
-
149
-
150
-
151
-
152
-
153
-
154
-
155
-
156
-
157
-
158
-
159
-
160
-
161
-
162
-
163
-
164
-
165
-
166
-
167
-
168
-
169
-
170
-
171
-
172
-
173
-
174
-
175
-
176
-
177
-
178
 |
 |
76
Western Region Operations Segment Results
Year Ended December 31,
2013 2012 2011
(Dollars in thousands, except PMPM data)
Commercial premiums............................................ $ 5,175,370 $ 5,705,497 $ 5,945,915
Medicare premiums ................................................ 2,771,431 2,790,497 2,437,135
Medicaid premiums ................................................ 2,430,272 1,963,104 1,493,293
Health plan services premiums............................... 10,377,073 10,459,098 9,876,343
Net investment income ........................................... 69,613 82,434 74,092
Administrative services fees and other income ...... 34,791 17,957 11,523
Total revenues......................................................... 10,481,477 10,559,489 9,961,958
Health plan services................................................ 8,886,547 9,316,922 8,545,623
General and administrative..................................... 1,076,817 903,142 851,012
Selling..................................................................... 239,428 245,925 237,360
Depreciation and amortization................................ 38,589 31,145 31,140
Interest .................................................................... 32,614 33,220 31,946
Total expenses......................................................... 10,273,995 10,530,354 9,697,081
Income from continuing operations before income
taxes........................................................................ 207,482 29,135 264,877
Income tax provision (benefit)................................ 73,621 (1,034) 96,324
Income from continuing operations........................ $ 133,861 $ 30,169 $ 168,553
Pretax margin.......................................................... 2.0 % 0.3% 2.7%
Commercial premium yield.................................... 2.7 % 4.7% 5.1%
Commercial premium PMPM (d)........................... $ 385.13 $ 374.99 $ 358.04
Commercial health care cost trend ......................... (1.0)% 9.1% 4.0%
Commercial health care cost PMPM (d) ................ $ 329.75 $ 333.17 $ 305.27
Commercial MCR (e) ............................................. 85.6 % 88.8% 85.3%
Medicare Advantage MCR (e)................................ 90.6 % 89.3% 90.3%
Medicaid MCR (e).................................................. 80.4 % 89.4% 85.5%
Health plan services MCR (a)................................. 85.6 % 89.1% 86.5%
G&A expense ratio (b)............................................ 10.3 % 8.6% 8.6%
Selling costs ratio (c) .............................................. 2.3 % 2.4% 2.4%
__________
(a) Health plan services MCR is calculated as health plan services cost divided by health plan services premiums
revenue.
(b) The G&A expense ratio is computed as general and administrative expenses divided by the sum of health plan
services premiums and administrative services fees and other income.
(c) The selling costs ratio is computed as selling expenses divided by health plan services premiums revenue.
(d) Per member per month ("PMPM") is calculated based on commercial at-risk member months and excludes ASO
member months.
(e) Commercial, Medicare Advantage or Medicaid MCR is calculated as commercial, Medicare Advantage or
Medicaid health care cost divided by commercial, Medicare Advantage or Medicaid premiums, as applicable.