please check my answer health insurance
posted by Lauren on .
Please check my answer thanks :)
True or False
If an enrollee uses more services then first thought they would per the PPOM calculation then the plan would show a loss for that period
I said True
According to my Googling of the abbreviation PPOM, it is a specific Preferred Provided Organization health plan. Whether they lose money or not depends upon how much they charge each employee or his/her insurer to belong, as well as how much services they use (less copayaments). They should have priced in a certain expected profit to start with.
So my answer would be "not necessarily"