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(60 points) You work as a data analyst for a health insurance company. Your firm is considering two alternative plans for insuring employees of a
(60 points) You work as a data analyst for a health insurance company. Your firm is considering two alternative plans for insuring employees of a company during the upcoming year. Plan A: Your company would pay 80% of charges for all services received during the year after each employee pays a $900 annual deductible. (NOTE: If the total charges are less than the deductible, the company will pay nothing. Rather than showing a negative number, the amount should show $0.) Plan B: Your company would pay 75% of all charges, with no deductible or patient copayment. Last year's claims by the employees of the company you are insuring are contained in the worksheet titled "Data for Assignment 2" workbook. There are three variables in this file: Total Charges = last year's $ charges for medical services; Age = age of the individual; Sex = sex of the individual. You have been asked to analyze these plans to estimate the company's payout under each alternative for the next year, using the assumption that charges will increase 9% next year over last year's values. (NOTE: I have provided cells for you to type some of the information you may need to
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