Success of Health Savings Accounts & high-deductible insurance

Alex Tabarrok summarizes the results of a study by the The American Academy of Actuaries: Emerging Data on Consumer-Driven Health Plans.

  • Cost-savings: 12% to 21% in the first year.
  • Cost containment: Compared to traditional insurance with higher deductible, costs appear to increase more slowly.
  • Proper and preventive care. Quoting the report: “Generally, all of the studies indicated that cost savings did not result from avoidance of inappropriate care and that necessary care was received in equal or greater degree relative to traditional plans.  All of the studies reported a significant increase in preventative services for CDH participants.”
  • Evidence-based care: “…some of the studies found that CDH plans resulted in better compliance with evidence-based care,” writes Tabborok.  (No, I’m not implying that evidence-based medicine is necessarily a good thing.)

And no, I am not saying that high-deductible insurance plans are right for everyone. Government should not punish people for buying them by enforcing a tax code that encourages people to buy excess insurance.  Nor should government make high-deductible plans illegal, as Massachusetts has.

Read the whole post about cost savings and consumer driven health plans.

Advertisements

8 Comments

Filed under insurance, tax code, HSAs

8 responses to “Success of Health Savings Accounts & high-deductible insurance

  1. Pingback: What abortion costs can tell us about medical care costs | Independence Institute: Patient Power

  2. Pingback: Does Obama know what health insurance is? | www.statehousecall.org

  3. Pingback: Does Obama not know what health insurance is? | Independence Institute: Patient Power

  4. Pingback: State Policy Blog » Blog Archive » More Colorado employers are offering HSAs

  5. Pingback: More Colorado employers are offering HSAs | Independence Institute: Patient Power

  6. Pingback: HSAs for state employees: empower patients, trim budgets | Independence Institute: Patient Power

  7. Pingback: Will health “reform” kill HSAs & high-deductible insurance plans? | Independence Institute: Patient Power

  8. Pingback: New Year’s Resolutions We’d Like to See

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s