STATE OF MAINE
DEPARTMENT OF PROFESSIONAL AND FINANCIAL REGULATION
BUREAU OF INSURANCE
| IN RE: |
) |
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| APPLICATION OF ASSOCIATED |
) |
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| HOSPITAL SERVICE OF MAINE |
) |
|
| d/b/a BLUE CROSS AND BLUE |
) |
|
| SHIELD OF MAINE TO CONVERT |
) |
|
| TO A STOCK INSURER AND |
) |
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| VOLUNTARILY LIQUIDATE |
) |
|
| AND DISSOLVE |
) |
|
|
) |
|
| and |
) |
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|
) |
THIRD PROTECTIVE ORDER |
| IN RE: |
) |
|
| APPLICATION OF ANTHEM |
) |
|
| HEALTH PLAN OF MAINE, INC. |
) |
|
| TO ACQUIRE THE ASSETS OF |
) |
|
| ASSOCIATED HOSPITAL |
) |
|
| SERVICE OF MAINE d/b/a |
) |
|
| BLUE CROSS AND BLUE SHIELD |
) |
|
| OF MAINE AND RELATED |
) |
|
| TRANSACTIONS |
) |
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|
) |
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| Docket No. INS-99-14 |
) |
|
| (Consolidated) |
) |
|
Associated Hospital Service of Maine, d/b/a Blue Cross and Blue Shield of Maine, has
requested confidential treatment for certain portions of the comparative premium rate
analysis prepared by Milliman & Robertson, Inc., Actuaries and Consultants. Upon
consideration of the types of information for which confidential treatment is requested
and the interests of the general public, the portions of the comparative premium rate
analysis listed below are accepted as confidential. Confidential treatment is being
afforded these portions of the comparative premium rate analysis due to their proprietary
nature and value as a trade secret and are, therefore, exempt from the provisions of the
Freedom of Access Act as being within the scope of privilege against discovery. 1 M.R.S.A.
§ 402(3)(B). Dissemination of the portions of the comparative premium rate analysis
listed below is governed by the terms of the Protective Order issued October 18, 1999.
Please note that reference in any discovery response in this proceeding to a document that
has been accepted as confidential does not alter the confidential status of that document.
- Page P 10009 – amount of assumed reductions in total claims related expenses and
general administrative expenses.
- Page P 10012 – amount of projected operating gain by calendar years 2002 and 2003.
- Page P 10013 – range for rate of return on investment.
- Page P 10013 – projected operating gain by calendar year 2003.
- Page P 10015 – increase in underwriting profits (projected operating gain) by
calendar year 2003.
- Page P 10020 – projected average premium rates per member per month for calendar
years 1999 and 2000.
- Page P 10021 – projected average premium rates per member per month for transition
year 2000, by half year.
- Page P 10022 – three-year projection of average premium rates per member per month
for calendar years 2001 to 2003 assuming no conversion.
- Page P 10023 – three-year projection of average premium rates per member per month
for calendar years 2001 to 2003 assuming conversion and acquisition.
- Page P 10026 – projected annual percent change in premium rates per member per
month transition years 1999 and 2000.
- Page P 10027 – projected annual percent change in premium rates per member per
month calendar years 2001 to 2003 assuming no conversion.
- Page 10028 – projected annual percent change in premium rates per member per month
calendar years 2001 to 2003 assuming conversion and Anthem acquisition.
- Page P 10029 – percent increase in claims savings with a conversion and per year
decrease in claims related expenses.
- Page P 10030 – net underwritten expenses with conversion beginning in 2001 and net
administrative expenses with conversion by 2003.
- Page P 10030 – expected transaction related costs to Anthem and net value to Anthem
for goodwill purposes.
- Page P 10031 – projected operating margin assuming no conversion for 2000 and 2003.
- Page P 10031 – projected operating margin assuming conversion for January 1, 2000
to December 31, 2000.
- Page P 10031 – projected operating margin in 2003, assuming conversion.
- Page P 10031 – projected start-up expenses and amount of costs for the six-month
periods ending December 31, 2000 and June 30, 2001.
- Page P 10032 – comparative balance sheets (projected) for Anthem BCBSME.
- Page P 10033 – comparative balance sheets (projected) for BCBSME.
- Page P 10034 – membership projections.
The Applicants filed a redacted version of the comparative premium rate analysis that
complies with this Order with the exception of appropriate redaction for pages P 10029, P
10030, and P 10031. Those three pages will be redacted and filed with the Superintendent
to replace the pages currently on file in the public version of the analysis.
Public/redacted pages P 10029, P 10030, and P 10031 shall be filed with the Superintendent
on or before January 19, 2000.
PER ORDER OF THE SUPERINTENDENT OF INSURANCE
DATED:___________________________
___________________________________
ALESSANDRO A. IUPPA
Superintendent of Insurance
