BestWeek: New Jersey PIP Medical Fee Schedule Is Here to Stay

Business Wire

posted: 18 HOURS 56 MINUTES AGO

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The New Jersey personal injury protection medical fee schedule is here to stay, according to a story in the new edition of BestWeek U.S./Canada.

The state Supreme Court has affirmed a decision earlier this year by the Superior Court’s Appellate Division that the determination of the fees by the Department of Banking and Insurance was not arbitrary, as the New Jersey Medical Society had alleged when it challenged the fee schedule.

Eric Stenson, spokesman for New Jersey Manufacturers, said the affirmation is a “victory for anyone paying premiums” in New Jersey. “This assures a level of predictability. Just to be able to get a handle on what will be paid out — that level of certainty — is a huge thing.”

Also in BestWeek U.S./Canada: Despite the recession, the U.S. and Bermuda reinsurance markets are seeing a disciplined January renewal season as reinsurers benefit from both an improved investment market and a quiet hurricane season.

In November, as reinsurers were busy giving quotes to clients in the annual pursuit of January renewals, companies said they were seeing stable premium rates, terms and conditions — unless the ceded portfolio had experienced some losses.

Also in BestWeek Europe: U.K. banks before June 2007 were considered among the strongest and best-run in the world, but two years later, the United Kingdom has experienced its first bank run since 1866, according to a new Best’s Special Report.

And in Regulatory Week: Medicare Advantage plans are facing a challenging environment as Congress considers health care reforms that would slice federal underwriting of the private sector programs.

Separate bills approved by the House of Representatives and under consideration in the Senate would restructure payments to Medicare Advantage plans to bring them more in line with traditional fee-for-service Medicare. Leveling these payments would produce from $118 billion to $170 billion in federal budget savings over a 10-year period, according to an analysis by the nonpartisan Congressional Budget Office.

BestWeek is published by A.M. Best Co. for insurance professionals. To subscribe, please visit www.ambest.com/sales/BestWeek.

Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.