KPIs are nothing but financial and non- financial measures of a firm's strategy to achieve its objectives. They are one of the most useful methods to perform the strategic task of managing and controlling performance. Different KPIs apply to different industries. They vary according to the nature of industry, its size, structure, risks and opportunities. Health Insurance industry has developed its own set of performance indicators which can be applied to predict the effectiveness of a company's strategies. KPIs in this industry can be categorized from the perspective of Finance, Operations, Customers and Service.Financial performance is one of the best criteria to judge the well being of an organization. These indicators are used to point towards the financial performance of various health insurance policies and the overall management of the business. Performance in this domain can be monitored by knowing about the premiums earned, IRR, amount of funds under management and the figures for operating profits. Another category pertains to Operations which includes the number of health policies sold, value of these policies, number of policies renewed and premiums paid out as the measurement yardsticks. Next the business can be reviewed from the customer perspective which essentially deals with the efficiency and convenience of services provided to the customers. This can be counted by knowing the number of customers, risks covers provided to them, number of complaints and the accessibility of company's products to the customers in rural areas.Last but not the least can be the Service category wherein the indicators give an idea of quality of service to citizens. This can be assessed by having an idea of the number of claims processed, claims pending, average processing time and processed hearings.
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Health has a priority that is rarely ignored by anyone irrespective of the social status held by the person. However, equally true is the fact that the variety of ailments and sensitivity to diseases too have increased manifold as compared to sometime ago. This emphasizes the place held by health insurance in the changed situations.
On needs to get 'health coverage' done by suitable agency so that in conditions of need, ample financial assistance for health is available at door.
The dynamics of this field are almost the ones that operate in any Insurance sector, however with the issue of health being more important for sure, one should be paying greater heed to the subject and tread this path carefully.
The buyer of a Health Insurance policy is supposed to make regular payments referred to as 'premiums' to be able to make genuine claims, in case health suffers.
There are various kinds of covers one can choose from, when it comes to health Insurance. Depending upon the ability to pay premiums, one can settle for any of these.
To measure and count successfully the stand held by a Health Insurance, balanced scorecard is one of the appropriate strategies. Metrics laid down on it make it possible to gauge the performance and growth of a Health Insurance player.
This is the actual scorecard with Health Insurance Dashboard and performance indicators. The performance indicators include: health insurance, financial perspective, new business premiums, irr on new business, external funds under management, operating profit, operations, policies sold, value of health policies sold, policy renewals, premiums paid, customer perspective, customer profile, risks profile, consumer complaints, access to insurance, service, claims processed, claims pending, average processing time, hearings processed .
Download a trial version of Health Insurance Estimation Balanced Scoreboard or purchase a full version online.
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