Multiple of Parent Rate and Coverage Calculation Method Example

The calculation method and other settings defined for a rate determine how and when the rate is calculated. For example, the rate might be calculated prior to enrollment, upon enrollment, or after enrollment has been completed.

Scenario

The example in this topic shows the rate calculation details when you use the Multiple of Parent Rate and Coverage calculation method.

Inputs to Calculation	Calculated Rate	Calculation Details
Multiplier: 1 Coverage Operator: Per ten thousand Coverage Amount: 200,000 Parent Rate Operator: Multiply by Parent Rate: 2.5 (value derived from selected Parent Rate Name)	50	[(1 * 2.5) / 10,000] * 200,000