Out-of-Pocket Costs Send People Shopping

Research conducted by Change Healthcare confirms what experts have long presumed: As out-of-pocket costs go up, so does the likelihood that people will shop for value-based care. Change Healthcare President and CEO Doug Ghertner said, “Our study looked at employee engagement relative to plan design – across two PPOs and six high-deductible health plans – and out-of-pocket costs, including deductible, co-pay and co-insurance. What we found is that healthcare costs and consumer engagement are directly related – as employees are faced with greater responsibility for the cost of care, they are more likely to shop for medical and pharmacy services…Those with higher out-of-pocket plan designs had consistently higher engagement scores across the three clients.”

Researchers measured engagement by looking at how people used the Change Healthcare Engagement Platform, including logging in, updating user preferences, completing savings thresholds, and using online tools. Employees with higher out-of-pocket costs used the transparency tool more often and in a more meaningful way. It’s important to understand the correlation between cost and consumer engagement, especially since more than 80% of employers will offer a CDHP option in 2015, and 30%-plus will offer only a CDHP, he added. “For plan sponsors considering such moves, transparency tools will prove critical, as they support employee/member satisfaction and retention, as well as population health and cost containment,” Ghertner added. For more information, visit www.changehealthcare.com.

Last Updated 10/20/2021

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