Performance Insurance

Swiss Reinsurance Co., the world's largest reinsurer, reported a $878 million after-tax loss on Monday because of its exposure to the subprime mortgage crisis.Swiss Re, in a trading statement, said the loss, which occurred in October, stems mainly from its so-called credit default swaps.But the company said it will still post a full-year net profit for 2007 and the year-end return on equity would be above its 13 percent target."The excellent performance of the group throughout the year to date means that Swiss Re is able to absorb the extraordinary financial market developments in October," said Chief Executive Jacques Aigrain.Swiss Re earlier this month posted a 5 percent drop in third-quarter earnings saying net income was 1.47 billion Swiss francs ($1.28 billion) compared with 1.55 billion francs in the same period last year.Shares in Swiss Re fell 5.5 percent to 92.15 francs ($82.49) in Zurich trading.Credit default swaps are usually bought by bond investors who seek insurance against potential losses in the bond market.

Doctors' group seeks fairness in performance ratings

You might call it a case of the rated rating the raters. The Minnesota Medical Association graded the insurance industry's methods for rating doctors and came up with an unflattering diagnosis.

The organization's new report, entitled "P4P: A Review of Pay for Performance in Minnesota," is an effort to extract more fairness in the system that pays bonuses to physicians who hit targets for care.

"We said we're not sure they work or not," Dr. Robert Meiches, who heads the M.M.A., told KARE 11.

"But if they're going to be here and they're going to be given a try, let's at least do them right. Our report points out a number of areas where 'doing it right' hasn't been met."

The study compared the ratings methods of nine insurance industry grading systems for doctors, judging them against a set of principles developed by the MMA.

Health Net Hit With Class Action Alleging Unfair Business Practices Over Retroactive Cancellations of Health Insurance ...

Renowned insurance litigator William Shernoff yesterday filed a class action lawsuit against Health Net Life Insurance Company, alleging that the insurer's unlawful practice of retroactively canceling health insurance policies has needlessly placed the lives of hundreds of innocent policyholders in jeopardy.

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Health care opinion leaders support public reporting of health care quality, prices

New York, November 19, 2007�Health care providers, insurance companies and drug makers should make information about prices available to the public, according to a new survey of leaders in health care and health policy. The latest Commonwealth Fund/Modern Healthcare Health Care Opinion Leaders Survey finds widespread support for such measures: In addition to the reporting of provider quality and prices, 86 percent of respondents support public reporting of drug prices charged to major purchasers, and 82 percent support the public reporting of medical loss ratios�the share of premium dollars that private insurance companies spend on actual medical care, rather than marketing, administration, and other expense or profit.

The survey focused on transparency in health care quality and pricing�that is, the public reporting of such information by name of hospital, physician practice, or other health care provider.

Letters to the Editor

The community support for the Colorado River Concert Association's Opening Night performance by Presidio Brass is partly due to the publicity provided by Mohave Valley Daily News. More than one standing ovation was given, and people gathered around the five talented young professionals afterwards to express their appreciation and buying their CDs.In addition, to "getting the word out" about the Nov. 7 concert through your newspaper articles, I'm sure that you motivated many in our community to become Sponsors of the 2007-2008 Season.