Guide to completing an application for approval of 2016 premium changes 1

David Wootton
Attachment B-Guide to premium application compilation Purpose The purpose of this guide is to assist insurers in compiling their premium application. It provides information about the details to include that would be helpful in assessing each application. This includes providing detailed explanations, assumptions and supporting data, tables or graphs where relevant. However, as it is up to each insurer to provide appropriate justification of its proposed premium changes, it is also the
more » ... s also the insurer's responsibility to assess what level of detail provides sufficient evidence to support its application. The guide also specifies how to complete the Templates (A, B & C) to Attachment A. In order to ensure consistency across insurers all information should be provided as instructed. Context All information provided should be considered in the context of, and with reference to, the insurer's business strategy. The basis of key assumptions should be explained, along with how those assumptions are incorporated into the financial forecasts. Only information that is relevant to the health insurance business is required. An insurer should assess whether any of its health related business or non-health insurance business information is relevant to the operations of the health insurance business and if so include supporting information. Presentation The insurer must set out its premium application in accordance with the approved form requirements, comprising of a cover letter, written report and completed templates. In preparing the written report, the insurer must address the criteria set out in the Report Items. Pages must be numbered and if provided as a PDF file, that file must be generated directly from Microsoft Word rather than having been scanned. Guide to completing an application for approval of 2016 premium changes 2 Formatting The format and/or structure of the Excel spread-sheets must not be changed in any way, as this causes delay in analysis and assessment. Insurers must avoid actions that may alter the integrity of the document including:-restructuring templates;-inserting filters;-changing number or text formats;-changing headings and-inserting blank rows. If amendments are made to the format and/or structure of the spread-sheet then resubmission of the application will be required, thus delaying consideration. The templates include a Data Entry Key worksheet that links to the information contained in the drop down lists. Contact information Please direct queries regarding the approved form to: