Need help with this problem. The answer is bolded. Is it correct? PROBLEM 1
Families First is a managed care plan that has been asked to submit a premium bid to ABC Company, a large
manufacturer in its service area. The premium bid includes the primary care for all of the ABC employees.
ABC has provided information about the age and gender of its employees, and Families First has identified
average primary care utilization rates from its own databases. This information is shown below:
	ABC Company		Average primary care
	Number of	Number of	visits per year			Ann Rate	Ann Rate	Prov FTE	Prov FTE
Age band	males	females	Males	Females		Males	Females	Yr-Male	Yr-Fem
20-29	285	325	2.10	3.18		598.5	1033.5
30-39	96	100	2.60	3.52		249.6	352
40-49	53	57	3.28	3.93		173.84	224.01
50-59	36	36	4.14	4.43		149.04	159.48
60+	7	5	4.98	5.04		34.86	25.2
						1205.84	1794.19	0.40	0.60
Each primary care physician can handle about 3,000 patient visits per year, for which he or she is paid
$180,000. What primary care rate (PMPM) will Families First propose to ABC Company?
ANSWER	Annual	PMPM
Male	72350.40	$ 6,029.20
Female	107651.40	$ 8,970.95
	180001.80	$15,000.15