Data Quality Incentive Program

Transcription

1 Data Quality Incentive Program January 15 18, 2019 Palm Beach County Convention Center West Palm Beach, FL Your Source for Data Quality

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3 Data Quality Incentive Program Presented by: Brett Reno and Lara Santana Objective 2 1

4 Agenda 3 General Information 2

5 Types of Programs Monetary Impact: Data Quality Incentive Program (DQIP) Regulator Impact: Regulator Exception Program Carrier Report Card 8 Program Objectives Encourage Data Submission That Is: Timely High Quality Align Assessments With Reporting Behavior 6 3

6 Impact 100 Unit Data Availability % Year 7 References Rules Data Quality Guidebook Results Data Manager Dashboard 8 4

7 Data Quality Incentive Program (DQIP) Evaluates Policy Unit Unit Notifications Detailed Claim Information 10 5

8 DQIP Factor DQIP in DMD 12 6

9 Timing 13 Eligibility 95 Actual >= Volume Eligibility Subject to DQIP Evaluation 14 7

10 Volume Eligibility by Data Type Data Type Count Evaluated Volume Eligibility Policy Total Received 120 Unit Total Received & Overdue 120 Unit 1st Reports Total 1st Reports Received 120 Notified Suspect Total Notified Suspect Unit Data 50 Unit Data DCI Total 18 Month Valuations + Total >18 Month Valuations Exercise #1 Answers 1. Which data types are eligible? Data Type Count Volume Policy Total Received 120 Unit Total Received 100 Total Received & Overdue 140 Total 1st Reports Received 99 Notified Suspect Total Notified Suspect Unit 100 Unit Data Data DCI Total 18 Month Valuations 30 Total >18 Month Valuations

11 Categories Data Type Category Threshold Adjustment Policy Available Prior to Policy >= 80% 5% Effective Date Unit Available 1 Month Early >= 99% 10% Not Available Past Due >10% 10% Not Available 3 Months Past >3% 25% Due 1st Reports Not Audited by the End of the 22nd Month >10% 10% Notified Suspect Unit Data Not Resolved Within 30 Days Past Due >20% 15% DCI 18 Month Valuations Past Due >50% 10% >18 Month Valuations Past >10% 5% Due 17 Actual Results Denominator Total Policies Numerator Prior to PED 32,725 / 42,103 = 77.7% 18 9

12 Determining Adjustments Compare Actual vs. Threshold 19 Example Credit Eligible? 41,020 > 120 Percent? 40,799 / 41,020 = 99.5% Adjustment? 99.5% > 99% 20 10

13 Exercise #2 1. Indicate the adjustments Policy Data Total Received 100 Category Available Prior to Policy Effective Date Category Count % Adjustment % 21 Exercise #2 1. Indicate the adjustments Unit Data Total Received & Overdue 1,000 Total 1st Reports Received 500 Category Category Count % Available 1 Month Early % 1st Reports Not Audited by the End of the 22nd Month % Adjustment 22 11

14 Exercise #2 1. Indicate the adjustments DCI Data Total 18 Month Valuations 50 Total >18 Month Valuations 50 Category 18 Month Valuations Past Due >18 Month Valuations Past Due Category Count % Adjustment % % 23 Calculating the Factor 5% 10% 25% 15% 5% 50% or Factor = 1 + sum of adjustment 24 12

15 Special Case Unit Credit + Unit or Notified Suspect Unit Data Debit 25 Exercise #3 1. Determine the DQIP Factor Adjustment Data Type Category Policy Policies Available Prior to Policy Effective Date 5% Unit Available 1 Month Early 0% Not Available Past Due 10% Not Available 3 Months Past Due 0% 1st Reports Not Audited by the End of the 10% 22nd Month Notified Not Resolved Within 30 Days Past Due 15% Suspect Unit Data DCI 18 Month Valuations Past Due 0% >18 Month Valuations Past Due 5% DQIP Factor 26 13

16 Exercise #3 2. Determine the DQIP Factor Adjustment Data Type Category Policy Policies Available Prior to Policy Effective Date 5% Unit Available 1 Month Early 10% Not Available Past Due 0% Not Available 3 Months Past Due 0% 1st Reports Not Audited by the End of the 22nd 0% Month Notified Not Resolved Within 30 Days Past Due 10% Suspect Unit Data DCI 18 Month Valuations Past Due 10% >18 Month Valuations Past Due 0% DQIP Factor 27 Applying the Factor Carrier A Data Collection Fee $5,000 Applied DQIP Factor 1.00 Total Fee $5,

17 Applying the Factor Carrier B Data Collection Fee $5,000 Applied DQIP Factor 1.10 Total Fee $5,500 Your Data Collection Fee total has increased by $500 due to your DQIP Factor. 29 Timing Chart Quarter Months Included Final Evaluation Applied to Invoices Q1 Jan Mar Apr 1 Apr Jun Q2 Apr Jun Jul 1 Jul Sep Q3 Jul Sep Oct 1 Oct Dec Q4 Oct Dec Jan 1 Jan Mar 30 15

18 Regulator Exception Report Regulator Exception Program in DMD 32 16

19 Regulator Exception Report 33 Criteria Escalation Criteria At least 15 experience rated unit reports are due for the given state At least 15 experience rated unit reports are currently (as of the Evaluation Date) not available and are three or more months past due More than 2% of due experience rated units are currently not available and are three or more months past due 34 17

20 Determining Escalated States % 35 Details /109 = 13.8% 36 18

21 Opportunity to Respond 37 Carrier Report Card 19

22 Carrier Report Card in DMD 39 Timing Version Distributed Recipients Second of each month Monthly (for tracking) Preliminary Final Approx. January 25 Approx. February 25 Data Manager Dashboard Data managers Financial Call actuary/corporate officers Data executives Preliminary recipients Regulator Approx. March 25 State regulators (failures) 40 20

23 Evaluates Policy Financial Unit DCI 41 Carrier Report Card 42 21

24 Carrier Report Card OVERALL A PASS 65, % A 46, % A 1, % 1, % PASS Based on Overall Grades 43 Virginia Grading Based on Virginia Only Results Virginia* Failures Highlighted 44 22

25 Grading Criteria 45 Grading Criteria A F Pass/Fail 46 23

26 Volume Eligibility N/A if under minimum at year end Minimum for grading: 120 policies 47 Determining the Grade Data Type Result Grade Unit # Units Expected 120 % Available On Time 90.0% Minimum for grading: 120 Units % Available On Time Grade A 90 < 98 B 80 < 90 C 70 < 80 D < 70 F 48 24

27 Exercise #5 Data Type Result Grade DCI # Expected 18 Month Valuations 30 % On Time 40.0% N/A # Expected >18 Month Valuations 30 % On Time 80.0% Overall DCI Pass Pass 49 25

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29 Supplemental Information

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31 Presenter Biographies Brett Reno has been with NCCI since 2006 and is the lead data analyst on the Data Quality Team. He is primarily responsible for the administration of several compliance programs, which include the Data Quality Incentive Program (DQIP), Carrier Data Quality Report Card, and the Regulator Exception Program. Prior to this role, he was the senior data analyst for the Proof of Coverage Team. And before that, he was the senior data analyst for the Customer Support Policy Team. Brett started with NCCI as an analyst in the Experience Rating Department. He is a veteran of the United States Marine Corps and has a bachelor s from Flagler College. Lara Santana has been with NCCI for 13 years and is currently a data consultant on the Data Quality Team. She is primarily responsible for the administration of the Financial and Unit Statistical Comparison program and Financial Data Edits. Prior to this role, she was a senior data analyst on the Financial Data Validation team. Prior to NCCI, she spent several years working in the Property and Casualty insurance industry holding positions in underwriting, claims, and customer service. Lara holds a bachelor s degree in Business Administration Marketing from the Rochester Institute of Technology.