Utilization and Costs in the CHAMPUS Reform Initiative

Preliminary Results for April-September 1989

by Lloyd Dixon, Susan D. Hosek, Darlene J. Blake, Suzanne Polich, Deborah L. Wesley


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In an effort to improve health care delivery and contain cost growth, the Department of Defense in 1987 proposed the CHAMPUS Reform Initiative (CRI). This Note presents interim results from an evaluation of the CRI, which was implemented in August 1988 throughout California and Hawaii to demonstrate major reforms of the military health care system. The evaluation is designed to assess the effects of CRI on a broad array of health care outcomes, including overall utilization and costs, beneficiary access to care and satisfaction, and treatment patterns for specific health care conditions. This Note provides preliminary data on health care utilization and costs under the CRI programs compared with those for the standard CHAMPUS programs in place outside the demonstration area.

This report is part of the RAND Corporation Note series. The note was a product of the RAND Corporation from 1979 to 1993 that reported other outputs of sponsored research for general distribution.

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