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Employer Group ABC
Incurred:
Apr 2014 thru Dec 2015
Paid:
Apr 2014 thru Mar 2016
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2.2 Aggregate Economics
Figure 2.2.1 breaks out cost growth into discrete drivers, such as change in member volume, change in PMPM, and
medical versus pharmacy PMPM. The change in Member Months will closely approximate the change in current
members. This analysis helps delineate whether absolute costs are growing because the population is growing, or
because the cost per member is growing. Further cost breakouts are present in
Section 3: Economic Findings and
Opportunities.
Member Month is always Medical Member Month in the "Change in Member Month" graph of Figure
2.2.1.
Figure 2.2.1 Distribution of Expenses
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See Figure
3.1.1 for
Detail
See Figure
3.2.1 for More
Detail
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Note:
Medical PMPM includes Non-PBM drug spend (J-Codes).
Source: Medical Intelligence : Claims Module / custom timeframes for medical and pharmacy expenses.