Product development and pricing: Healthcare

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In the healthcare markets of Central and Eastern Europe, where data can be scarce or of poor quality, Milliman consultants provide expertise in developing sophisticated databases to guide product design and pricing. We combine global experience with local knowledge to guide the design of optimal products for these growing healthcare markets. 

We have helped clients price a wide range of medical products, including cash plans, fixed benefit surgical plans, and full indemnity plans. We bring extensive experience in blending available data from Western Europe, the UK, and the US with high-level statistics on local markets to create a robust database to determine correct product pricing. Providing this reliable starting point, our consistent methodology allows us to create fair comparisons, adjusting as needed for specialised products or particular market conditions.

Our consultants combine their knowledge with insights from our proprietary benchmarking tools to determine appropriate pricing levels. Milliman's Health Cost Guidelines™ are the industry gold standard worldwide for determining claim costs and expected healthcare utilisation rates.

Design and pricing expertise leads to successful launch

Milliman helped a Polish insurer develop a private inpatient surgical product to complement its existing life and health outpatient products. We estimated the net and gross premium rates and created an underwriting manual that discusses the main risk management procedures which must be followed to minimise possible adverse experience.

Our consulting team also developed terms and conditions for the product and provided financial forecasts for a three-to five-year time horizon. The London and Warsaw offices worked jointly on the project. As a result of Milliman's involvement, the client successfully launched its new product.