Hancock, Boston, a unit of Manulife Financial Corp., Toronto (TSX:MFC), says it believes fixed annuity buyers may be interested in interest rates that vary along with the Consumer Price Index-Urban.
The insurer can protect itself against extreme inflation risk by setting a cap on how high the inflation-adjusted rate can rise when the contract is issued, Hancock says.
In other insurance ideas news:
- America’s Health Insurance Plans (AHIP), Washington, says Aparna Higgins, an AHIP vice president, and other AHIP staffers have published an article on early experiences at accountable care organizations (ACO) in the September issue if Health Affairs, a health care finance and delivery academic journal.
Government officials and other policymakers are hoping that ACOs – efforts to use payment structures to create health care provider teams that can deliver care on a whole-patient basis, rather than on a service-by-service basis – will help control the cost of care and increase the quality.
The AHIP staffers suggest that some providers may need technical help from health plans to participate in the ACO arrangements.
In the real world, health plans have had to adjust ACO arrangements to suit the needs of providers and patients, rather than taking a one-size-fits-all approach, the AHIP staffers say.
- Health Affairs, Bethesda, Md., also has published two other interesting articles in its latest issue.
In one, Charles Roehrig and David Rousseau conclude that health care spending is high in the United States more because the cost of care is high than because the amount of care delivered is increasing.