XML 40 R26.htm IDEA: XBRL DOCUMENT v3.5.0.2
Significant Accounting Policies (Tables)
 9 Months Ended
Sep. 30, 2016
Accounting Policies [Abstract]  
Receivables (payables) for 3R programs
Our receivables (payables) for each of these programs, as of the dates indicated, were as follows:
 
September 30, 2016
 
December 31,
2015
 
Current Benefit Year
 
Prior Benefit Years
 
Total
 
 
(In millions)
Risk adjustment
$
(372
)
 
$
2

 
$
(370
)
 
$
(214
)
Reinsurance
62

 
4

 
66

 
36

Risk corridor
(4
)
 
(1
)
 
(5
)
 
(10
)
Minimum MLR
(11
)
 
(4
)
 
(15
)
 
(3
)
Quality incentive premium revenue recognized
The following table quantifies the quality incentive premium revenue recognized for the periods presented, including the amounts earned in the periods presented and prior periods. Although the reasonably possible effects of a change in estimate related to quality incentive premium revenue as of September 30, 2016 are not known, we have no reason to believe that the adjustments to prior periods noted below are not indicative of the potential future changes in our estimates as of September 30, 2016, other than the Texas quality revenue recognized in the second quarter of 2016 described above.
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2016
 
2015
 
2016
 
2015
 
(In millions)
Maximum available quality incentive premium - current period
$
33

 
$
28

 
$
114

 
$
86

Amount of quality incentive premium revenue recognized in current period:
 
 
 
 
 
 
 
Earned current period
$
26

 
$
17

 
$
80

 
$
38

Earned prior periods
—

 
—

 
54

 
11

Total
$
26

 
$
17

 
$
134

 
49

 
 
 
 
 
 
 
 
Quality incentive premium revenue recognized as a percentage of total premium revenue
0.6
%
 
0.5
%
 
1.1
%
 
0.5
%