Health Care Costs Payable (Tables)

6 Months Ended

Jun. 30, 2020

Health Care and Other Insurance Liabilities [Abstract]

Schedule of Liability for Unpaid Claims and Claims Adjustment Expense

The following table shows the components of the change in health care costs payable during the six months ended June 30, 2020 and 2019:



	Six Months Ended June 30,
In millions	2020			2019
Health care costs payable, beginning of the period	$	6,879		$	6,147
Less: Reinsurance recoverables	5			4
Health care costs payable, beginning of the period, net	6,874			6,143
Acquisition	412			—
Add: Components of incurred health care costs
Current year	26,390			26,864
Prior years	(420		)	(489		)
Total incurred health care costs ⁽¹⁾	25,970			26,375
Less: Claims paid
Current year	20,223			20,552
Prior years	5,704			5,095
Total claims paid	25,927			25,647
Add: Premium deficiency reserve	29			14
Health care costs payable, end of the period, net	7,358			6,885
Add: Reinsurance recoverables	4			4
Health care costs payable, end of the period	$	7,362		$	6,889

^{_____________________________________________}

(1)

Total incurred health care costs for the six months ended June 30, 2020 and 2019 in the table above exclude (i) $29 million and $14 million, respectively, related to a premium deficiency reserve related to the Company’s Medicaid products, (ii) $20 million and $21 million, respectively, of benefit costs recorded in the Health Care Benefits segment that are included in other insurance liabilities on the Company’s unaudited condensed consolidated balance sheets and (iii) $119 million and $136 million, respectively, of benefit costs recorded in the Corporate/Other segment that are included in other insurance liabilities on the Company’s unaudited condensed consolidated balance sheets.