Mechanisms

Approximate insurance costs per disease:

The CDC, NIH and other governmental branches including Congress from various studies have calculated the following:

Total national health care expenditures:

$2.2 ,000,000,000,000.00 (2.2 trillion, 2007)… This represents a 14% increase from the year 2000 !
$2.7,000,000,000,000 (2.7 trillion, 2011)…This represents 16% of the GDP !

Additionally, the cost of these diseases on an individual basis have also been calculated:

…Diabetes related chronic disease costs are ~ $27,000,000,000.00 for care to directly treat Diabetes, ~ $58,000,000,000.00 to treat Diabetes-related chronic complications attributable to Diabetes and ~ $31,000,000,000.00 in excess general medical costs (2007)……Obesity ~ $147,000,000,000.00 (2008)……Cardiovascular and Stroke ~ $475,000,000,000.00 (2009)… including ~ $313,000,000,000.00 in direct medical expenses and ~ $161,000,000,000.00 in indirect costs (~ $39,000,000,000.00 in lost productivity due to sickness or disability and ~ $122,000,000,000.00 due to lost productivity due to premature death)…Heart disease and Stroke ~ $432,000,000,000.00 (2014)…Lung Disease ~ $154,000,000,000.00 (2014)…Alzheimer’s Disease ~ $148,000,000,000.00 (2014)… Diabetes ~ $174,000,000,000.00 (2014)…

Additionally, as the CDC has indicated in their publications this represents the ‘unsustainability of rising health care costs”…

• Since 2000, health insurance premiums for a typical family of four have increased by 114% proving costly for both employers and employees
• In 2007, private health insurance obtained through the workplace for individuals less than 65 years of age was the major source of insurance covering 157.9 million people or 61.6% of the population
• Average annual premiums for employer-sponsored coverage are $5,049.00 for single coverage and $13,770.00 for family coverage in 2014

However, three separate important concepts in particular act to enable financial success within the CHAI Insurance Consulting Group LLC paradigm, and reduce this price of spiraling health care costs, as taught by the intellectual property that is detailed in the CHAI Insurance Consulting Group patents:

Prevention

The concepts of prevention and early detection, are confusingly similar and are often used interchangeably when in fact they are very different and distinct from each other. Preventive medicine is perhaps the key factor for the success of the CHAI Insurance Consulting Group LLC. At the heart of prevention is the area of CAM Medicine (complementary and alternative medicine) which also involves holistic and integrative medicine as well. This is essential to the success of CHAI as it is the basis for physical health and is also the key for fiscal savings. That is, specifically, vitamins, minerals, nutritional herbal medicine, nutritional biochemistry, pharmacognosy, nutraceuticals, etc. play invaluable roles in “catalyzing health into wealth” and preventing unnecessary and larger insurance expenses involving extremely costly interventive means. The field of CAM Medicine contains a vast literature that supports the efficacy of many nutritional supplements that have been well studied. It is itself a multibillion dollar industry that now occupies a well-defined and established position at almost every level within: medical schools, hospitals and governmental agencies e.g. (U.S.A.) NIH – NCCAM. This vital area of research also extends internationally as can be found for example in the (U.K.) i.e. within the NHS – The Research Council for Complementary Medicine and also many areas of Europe which have for decades pioneered and promoted various fields of complementary medicine including: nutrition, homeopathy, herbal medicine, etc.

Early Detection

If the old adage of “an ounce of prevention is worth a pound of cure” still is valid then the concept of early detection is perhaps the second most important mechanism for the basis for success for the CHAI Insurance Consulting Group LLC . That is, the earlier that one can detect a disease obviously the more options that may be available to prevent or intervene with that disease process. With the advent of advances in the field of genomics and other recently developed technologies, the argument that ‘the more that tests are provided, the more the price of medical costs will increase’… is no longer valid. As such, these improvements in newly developed methods of early detection are in fact enabling more diseases to be detected at an earlier stage. Thus, the opposite paradigm can now perhaps be realized which is: ‘the more frequently one tests an insured for health reasons the more that individuals health costs can potentially be lowered’… disease prevented and fiscal and physical health realized…… if one utilizes the principles of the CHAI Insurance Consulting Group LLC.

The Law of Small Numbers

Applying the concept of the “law of small numbers” to insurance allows one to use the above concepts of prevention and early detection optimally in the insurance model formulated by the CHAI Insurance Consulting Group LLC. The reason for this is simply that an insured or group of insureds of approximately n = 1 – 7 persons who are actively engaged in creating health and wealth by following the CHAI plan need not amortize or average their gains among various outlier subpopulations that may be non-compliant health wise and thus are not beneFIT™-ing themselves financially either. Thus, the CHAI insurance protocol is flexible in that an insurance company can use either the established statistical and accounting methodologies involving the “law of large numbers” if desired or they can apply the “law of small numbers” in order to optimize the gains made by each individual or small(er) groups. Additionally, the “law of small numbers” may be applied to a larger aggregate of insureds that desire to become associated statistically in order to potentially gain further discounts and savings if an insured or insurance company desires. In this way, larger amounts of small samplings ie individual insureds or small(er) groups of insureds can potentially yield greater discounts and savings if compiled into somewhat larger groups by the insurance company within identical or perhaps similar insurance policies. That is, the common practice of applying the “law of large numbers” in the insurance industry in order to “minimize the risk” of a particular group of insured’s becomes less necessary or perhaps unnecessary when utilizing the CHAI protocols that link health and wealth and that may reduce the health risk(s) and mortality risk(s) of the insured(s) whether they are calculated in groups of one or seven or greater. Thus the insurance company can now potentially choose to apply the “law of large numbers” or the “law of small numbers” or perhaps both at particular times if following the CHAI Insurance Consulting Group LLC methodologies.

 

References:

Text of A Resolution Designating July 24, 2014, as “International Self-Care Day”. govtrack US (“This simple resolution was agreed to on July 23, 2014” – published on WWW)

Centers for Disease Control and Prevention – Workplace Health Promotion – Rising Health Costs are Unsustainable – (October 23, 2013 – published on WWW)