The Impact of Access Regulation on Health Insurance Market Structure. Table 8: Variable Definitions, Group and Individual Markets

10/20/2000

Variable Definitions, Group and Individual Markets
Market Structure and Concentration
NUMINSst Number of major medical insurers in state s in year t
BCBSst Blue Cross and Blue Shield organization market share in state s in year t
HMOst HMO market share in state s in year t
COMMst Commercial insurer market share in state s in year t
HERFst Herfindahl index in state s in year t
TOP5st Market share of the largest five insurers in state s in year t
Regulation Variables
PREEXst Maximum number of months that insurers can impose for preexisting condition exclusions in state s in year t (states without any provision are topcoded at six years).
SOMALLst Guaranteed issue, some or all major medical products in state s in year t (yes=1)
ALLst Guaranteed issue, all products in state s in year t (yes=1)
GRENEWst Guaranteed renewal in state s in year t
AGEst Rate band on age rating, calculated as the 1/(maximum rate/minimum rate) in state s in year t. (Maximum = prohibited factor = 1; minimum = no restriction = 0)
HEALTHst Rate band on health rating, calculated as the 1/(maximum rate/minimum rate) in state s in year t. (Maximum = community rating = 1; minimum = no restriction = 0)
COMPOSst Rate band on age rating, calculated as the 1/(maximum rate/minimum rate) in state s
RISKDUMst High risk pool for individuals in state s in year t (individual market only; yes=1)
Price of Insurance
LOSSRst Average loss ratio in state s in year t, calculated among insurers with at least 85 percent of their business as major medical
Control Variables
POPst Nonelderly population (in millions) in state s in year t
STATEs State dummy
YEARt Year dummy