GVHR » Topics » Our results of operations may be adversely affected if insurance coverage for

These excerpts taken from the GVHR 10-K filed Mar 16, 2009.
Our results of operations may be adversely affected if insurance coverage for workers’ compensation or medical benefits is not available or if we lose relationships with our key providers or if our key providers are unable to pay our claims.

 

As part of our full range of services, we offer medical benefits coverage and workers’ compensation insurance to our clients. We depend on a small number of key providers for the majority of our medical benefits and workers compensation coverage, including AIG CI, BCBSF/HOI, UnitedHealthcare and Aetna. If any of our insurance providers discontinue coverage or cease operations, the time and expense of providing replacement coverage could be disruptive to our business and could adversely affect our operating results, financial condition and cash flows. Replacement coverage could lead to client dissatisfaction and attrition (especially since most clients may terminate with either 30 or 45 days notice) due to the lack of continuity between coverage providers and the difference in the terms and conditions of their respective coverage plans. In addition, if at any time we are unable to renew our existing policies on financial terms and premium rates acceptable to us, our ability to provide such insurance and benefits to our clients would be adversely impacted, which could lead to significant client attrition, and our results of operations could be adversely affected. Our inability to renew existing policies may jeopardize compliance with state regulatory requirements and subject us to fines and extra costs to satisfy the state requirements or, at worst, eliminate our ability to provide services in those states. The loss of our ability to provide services, even for a short period, would negatively impact our image with our clients and could lead to the termination of our service agreements and our results of operations may be adversely affected. Additionally, disruptions in the financial markets, exposure to sub-prime mortgage securities and adverse action by rating agencies could adversely affect the financial stability of certain insurance companies.  As a result the ability of the insurance companies to pay claims could be significantly impaired.

 

Our results of operations may be adversely
affected if insurance coverage for
workers’ compensation or medical
benefits is not available or if we lose
relationships with our key providers
or if our key providers are unable to pay our claims.



 



As
part of our full range of services, we offer medical benefits coverage and
workers’ compensation insurance to our clients. We depend on a small number of
key providers for the majority of our medical benefits and workers compensation
coverage, including AIG CI, BCBSF/HOI, UnitedHealthcare and Aetna. If any of
our insurance providers discontinue coverage or cease operations, the time and
expense of providing replacement coverage could be disruptive to our business
and could adversely affect our operating results, financial condition and cash
flows. Replacement coverage could lead to client dissatisfaction and attrition
(especially since most clients may terminate with either 30 or 45 days
notice) due to the lack of continuity between coverage providers and the
difference in the terms and conditions of their respective coverage plans. In
addition, if at any time we are unable to renew our existing policies on
financial terms and premium rates acceptable to us, our ability to provide such
insurance and benefits to our clients would be adversely impacted, which could
lead to significant client attrition, and our results of operations could be
adversely affected. Our inability to renew existing policies may jeopardize
compliance with state regulatory requirements and subject us to fines and extra
costs to satisfy the state requirements or, at worst, eliminate our ability to
provide services in those states. The loss of our ability to provide services,
even for a short period, would negatively impact our image with our clients and
could lead to the termination of our service agreements and our results of
operations may be adversely affected. Additionally, disruptions in the
financial markets, exposure to sub-prime mortgage securities and adverse action
by rating agencies could adversely affect the financial stability of certain
insurance companies.  As a result the
ability of the insurance companies to pay claims could be significantly
impaired.



 



Our results of operations may be adversely
affected if insurance coverage for
workers’ compensation or medical
benefits is not available or if we lose
relationships with our key providers
or if our key providers are unable to pay our claims.



 



As
part of our full range of services, we offer medical benefits coverage and
workers’ compensation insurance to our clients. We depend on a small number of
key providers for the majority of our medical benefits and workers compensation
coverage, including AIG CI, BCBSF/HOI, UnitedHealthcare and Aetna. If any of
our insurance providers discontinue coverage or cease operations, the time and
expense of providing replacement coverage could be disruptive to our business
and could adversely affect our operating results, financial condition and cash
flows. Replacement coverage could lead to client dissatisfaction and attrition
(especially since most clients may terminate with either 30 or 45 days
notice) due to the lack of continuity between coverage providers and the
difference in the terms and conditions of their respective coverage plans. In
addition, if at any time we are unable to renew our existing policies on
financial terms and premium rates acceptable to us, our ability to provide such
insurance and benefits to our clients would be adversely impacted, which could
lead to significant client attrition, and our results of operations could be
adversely affected. Our inability to renew existing policies may jeopardize
compliance with state regulatory requirements and subject us to fines and extra
costs to satisfy the state requirements or, at worst, eliminate our ability to
provide services in those states. The loss of our ability to provide services,
even for a short period, would negatively impact our image with our clients and
could lead to the termination of our service agreements and our results of
operations may be adversely affected. Additionally, disruptions in the
financial markets, exposure to sub-prime mortgage securities and adverse action
by rating agencies could adversely affect the financial stability of certain
insurance companies.  As a result the
ability of the insurance companies to pay claims could be significantly
impaired.



 



EXCERPTS ON THIS PAGE:

10-K (3 sections)
Mar 16, 2009
Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki