Provider reimbursement methods that transfer some utilization risk from a health plan to providers affect the health plan's RBC formula. A health plan's use of these reimbursement methods is likely to result in

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When a health plan transfers utilization risk to providers, it reduces its own risk exposure, which can lead to a decrease in the net worth requirement as the plan's financial stability is perceived to be stronger.

Provider Reimbursement Methods That Transfer Some Utilization Risk from a Health