Encyclopedia of Public Health

2008 Edition
| Editors: Wilhelm Kirch

Risk-Related Premiums

Reference work entry
DOI: https://doi.org/10.1007/978-1-4020-5614-7_3051

Synonyms

Actuarially fair premiums; Risk-equivalent premiums

Definition

Health insurers calculate risk-related premiums if expected health care expenditures of individuals are equivalent to premiums paid by individuals. As a consequence, high-risk individuals pay higher premiums than low-risk individuals.

Copyright information

© Springer-Verlag 2008