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Skin in the Game: How Consumer-Directed Health Plans Can Affect the Cost and Use of Health Care

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In Brief: Amelia M. Haviland on Consumer-Directed Health PlansAmelia M. HavilandStatistician

Families who switched from a traditional health plan to a consumer-directed health plan spent an average of 21 percent less on health care in the first year after switching than similar families who remained in traditional plans. Amelia Haviland presents the results of several new RAND studies on cost and quality in consumer-directed health plans, and explores how switching plans affects the quality of care.

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In Brief: Amelia M. Haviland on Consumer-Directed Health Plans

Amelia M. Haviland

Statistician

1:52

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Skin in the Game: How Consumer-Directed Health Plans Can Affect the Cost and Use of Health Care

Amelia M. Haviland

Statistician

29:19

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Consumer-Directed Plans May Heal Spending, but What About Patients?

“Consumer-directed” health plans (CDHPs), with high deductibles and low monthly premiums, are thought to limit health care spending by tying costs to patients' care. Consumers switching to a CDHP appear to make significant reductions in their spending, but may also be skipping high-value preventive care.

Consumer-Directed Plans Could Cut Health Costs Sharply, but Also Discourage Preventive Care

Switching to a consumer-directed health plan (CDHP) could save families 20 percent or more on their health care costs. Families with CDHPs initiate less episodes of care and spend less per episode, however, they also tend to scale back on high-value preventive care, such as child vaccinations.

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