The Society of Actuaries’ (SOA) recently published their study titled “Accuracy of Claims-Based Risk Scoring Models”. It evaluated 11 vendors on their ability to predict costs using Truven Marketscan® commercial claims dataset of 1 million members.
The highlights are that Forecast (now Lumeris):
- Beat the 2nd best vendor at predicting people with the top 1% of costs by 9% (Outperformed all vendors by 9% to 14%).
- Beat the 2nd best vendor at predicting overall costs when costs per person were capped at $250k by 13% (Outperformed all vendors by 13% to 27%).
- Beat the 2nd best vendor at predicting overall costs when per person costs were uncapped by 25% (Outperformed all vendors by 25% to 36%).
To find out more, read the full article.