42 C.F.R. § 417.582
Definitions.
Cite as 42 C.F.R. § 417.582 (2026)
As used in this subpart—
AAPCC
stands for adjusted average per capita cost.
ACR
stands for adjusted community rate.
Actuarial factors
means factors such as the age, sex, and disability level distribution of the population and any other relevant factors that CMS determines have a significant effect on the level of utilization and cost of health services.
APCRP
stands for average of per capita rates of payment.
Class of Medicare enrollees
means a group of Medicare enrollees of an HMO or CMP that CMS constructs on the basis of actuarial factors.
Similar area
means an area similar to the HMO's or CMP's geographic area but free from special characteristics that would distort the determination of the AAPCC.
U.S. per capita incurred cost
means the average per capita cost, including intermediary or carrier administrative costs, incurred by Medicare, as determined on an accrual basis, for covered services furnished to Medicare beneficiaries nationwide during the most recent period for which CMS has complete data.
[50 FR 1346, Jan. 10, 1985; 50 FR 20570, May 17, 1985, as amended at 58 FR 38080, July 15, 1993; 60 FR 46232, Sept. 6, 1995]