Consumer driven prescription drug plans

Date of publication: February 23, 2003

Abstract:

Considerable discussion on the rising healthcare and pharmaceutical costs and the future direction of the U.S. healthcare system is routinely heard in political debates and with employers. Employers are shifting some of the cost burden to their employees through plans requiring higher deductibles and co-pays and increasing employee contributions. As many employers begin to provide health insurance under 'Defined Contribution', consumer demand for changes in benefit structure will begin and diversity in health benefit design will grow. This paper discusses the method taken to obtain and analyze consumer preference toward desired prescription drug plan designs.

James Bologna

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Donald Falkinburg

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