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CHAPTER 2. HEALTH PLAN CHOICE 113
600
100 200 300 400 500 600 Costs .5 .51 1.5 2 2.5 Risk Score Risk Score Nework Insurer
Nework Insurer
Intergrated Insurer
Intergrated Insurer
100
500
400
Costs
300
200
100
.5
Nework Insurer
Figure 2.5: Costs by Risk Score
1
Intergrated Insurer
1.5
Risk Score
Notes: Each point represents a insurer-employer-year. Risk Score is the average enrollee
risk score in a firm-year. Costs is the insurers’ monthly cost per enrollee. Fitted lines
represent the Network HMO and Integrated HMO.
2
2.5