Question-and-Answer Session
Operator
(Operator Instructions) Our first question comes from the line Matthew Borsch with Goldman Sachs. Please go ahead.
Matthew Borsch - Goldman Sachs
Yes, thank you. My first question is the follow-up, which is, your view on commercial medical cost trend. Can you just give us what it is now for 2007 and what it is now for 2008? Is it higher for 2008 than your revised view for 2007?
Angela Braly
Thank you, Matt for that question. We have described that what we are looking at for '07, the baseline trends is now 90 basis points higher than we had initially reported. So on March 10th we thought it was 50 basis points higher, since we worked down these claims, we have assessed that it was 40 basis points more than that or 90 basis points higher than that or in the baseline for 2007. In terms of 2008, we continue to expect that medical cost trends will be in the rage of 8% plus or minus 50 basis points to the full year.
Matthew Borsch - Goldman Sachs
Okay. I just what I’m trying to understand with your revised forecast, do you see trend is higher or lower for 2008 relative to 2007 as you can see it now?
Wayne DeVeydt
Trend is actually very much inline with 2007, now when we look at it on a restated basis, I’d say at this point, we are not expecting or at least in the early indication the trend is rising in '08 on our expectations, but we are still baking in the range of guidance we gave in the event it does. As you know, with only three months of activity at this point, I’m not prepared nor is Angela to say that the trend isn't rising, but I’d say on a restated basis, '07 is very much inline with '08, and right now '08 is still inline with what we originally had expected. So, again, we are building the range in the event that trend does move up, but right now, we are not ready to declare that. We are not really seeing that yet.
Operator
And next we'll go to the line of John Rex with Bear Stearns. Your line is open.
John Rex - Bear Stearns
Yeah, just I wanted to come back still on the cost trends, so if I understand exactly. I think, where do you describe those seven trends initially was less than 8%, also at 7.9% and 7.5%, but you have 90 basis points over that level at this point. And it would seem that the mid point of that you’re talking to for '08 with still be a reduction with that level. I guess I just want to clear up that.
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