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IBNR |
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Even more importantly, with the company being acquired, have they adequately reserved for open claims and for IBNR (incurred but not reported), have they accrued on the balance sheet enough reserves for those losses? The best way to control IBNR is to become aware of events as quickly as possible through the authorization process, through the claims process, or through required notice of emergency admissions. Until a practice has actual experience it can use to make projections, IBNR estimates should be based on the HMO's experience, determined by actuarial studies. |
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