December 06, 2006

Many in "Consumer-directed" health plans lacked choice

Isn't it ironic? The "consumer-directed" health plan (CDHP) movement, which is supposed to promote consumer choice, may actually be fostered in an environment that limits consumer choice.

A national study released by the Center for Studying Health System Change shows that 4 in 10 workers who were in such plans in 2006 had no choice of another type of plan.

"While consumer-directed health plan proponents often assert that the high-deductible plans linked to savings accounts offer enrollees greater choice and autonomy in the health care marketplace, 39 percent of the estimated 2.7 million workers enrolled in employer-sponsored CDHPs had no choice of another type of plan in 2006."

The report concludes: "In the employer-based market CDHP enrollment may ultimately take off in a manner similar to the early experience of PPOs. For the moment, however, CDHPs have gained only a toehold in the employer-based market, and health plans appear to be more enthusiastic about consumer-directed health care than are employers, who in turn are more enthusiastic than employees."

Posted by schwitz at December 6, 2006 08:41 AM | TrackBack
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