|Date Requested:March 25, 2005
Time Requested:02:43 PM
| FUND(S) |
2360; 2361; 2362; 2363; 2367; 2368
Sources of Revenue
Legislation creates:Neither Program nor Fund
Effect this measure will have on costs and revenues of state government.
| There are 113 licensed Behavioral Health Centers in the state, some of which are currently insured in BRIM. There are an additional 63 Intermediate Care Facilities for the mentally retarded (ICF/MR), some of which are currently insured in BRIM. West Virginia Code Chapter 27-2A-1 does not define a mental health-mental retardation center. Therefore, conceivably all of the above would qualify for coverage in BRIM, with an exemption from the payment of premium.
It is difficult to determine the fiscal impact of the entities that BRIM could potentially be required to insure without being able to collect a premium, and without the benefit of their previous loss history and other exposure data, i.e. medical professionals, etc.
For the entities that we currently insure, or have previously insured, that loss history is available. One in particular has a total incurred loss history that exceeds $2,744,950 million. Another exceeds $1,100,000. Another exceeds $633,000.
|Effect of Proposal||Fiscal Year|
|1. Estmated Total Cost||0||0||10,000,000|
|Repairs and Alterations||0||0||0|
|2. Estimated Total Revenues||0||0||10,000,000|
3. Explanation of above estimates (including long-range effect):
Some of the larger entities such as Presteria Center or Valley Health Systems will require an annual premium in the $200,000 to $400,000 range. Smaller entities require less. Should all the 176 entities come under the auspices of BRIM, a premium revenue loss approximating $10,000,000 may be understated.
The corresponding increase to the unfunded liability is indeterminate as we are without significant information that would enable us to review their loss histories and potential exposures to risk.