Abstract:

Using data collected in the springs of 1999 and 2000 from a standardized survey of over 18,000 respondents across the United States, a prospective model of health plan customer loyalty was developed. The model was based on a combination of categorical modeling and multivariate forecasting and has provided highly predictable results at national, regional, and local market levels. The fundamental principle of the model is to predict health plan loyalty based on changes in independent attribute ratings of patient care. Health care organizations can gain a competitive edge by understanding how changes in any or all attributes influence customer loyalty.