Estimated Savings

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Estimated Savings State of Minnesota Dependent Audit Savings Estimates for Document Model Review Year # Dependents Audited # Ineligibles Removed Med & Rx Savings per Ineligible Removed Total Med & Rx Savings Audit 70,000 Year 1 4,900 $2,720 $ 13,328,000 Year 2 4,900 $2,918 $ 14,298,200 Year 3 4,900 $3,131 $ 15,341,900 Year 4 4,900 $3,358 $ 16,454,200 Year 5 4,900 $3,603 $ 17,654,700 Total $ 77,077,000 The savings estimates are based on 50,000 employee households with one or more dependents, and a total of 70,000 dependents. The average dependent spend is conservatively estimated at $3,400 annually. Estimate assumes a 7% reduction in dependent headcounts. 7

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Estimated Savings. The savings estimates are based on 50,000 employee households with one or more dependents, and a total of 70,000 dependents. The average dependent spend is conservatively estimated at $3,400 annually. Estimate assumes a 7% reduction in dependent headcounts. 7. - PowerPoint PPT Presentation

Transcript of Estimated Savings

Page 1: Estimated Savings

Estimated Savings

State of Minnesota Dependent Audit

Savings Estimates for Document Model Review

Year# Dependents

Audited# Ineligibles Removed

Med & Rx Savings per Ineligible Removed

Total Med & Rx Savings

Audit 70,000      

Year 1 4,900 $2,720 $ 13,328,000

Year 2   4,900 $2,918 $ 14,298,200

Year 3   4,900 $3,131 $ 15,341,900

Year 4   4,900 $3,358 $ 16,454,200

Year 5   4,900 $3,603 $ 17,654,700

Total       $ 77,077,000

The savings estimates are based on 50,000 employee households with one or more dependents, and a total of 70,000 dependents. The average dependent spend is conservatively estimated at $3,400 annually. Estimate assumes a 7% reduction in dependent headcounts.

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