AHIP: Break down barriers to cutting health care costs

01/30/2013 | Bloomberg BNA (free content)

Regulatory and other barriers to reducing health care costs must be broken down to achieve real savings, AHIP president and CEO Karen Ignagni says. Tiering, or partnering with networks of care providers and giving consumers incentives to use those networks, has yielded significant results, but Medicare Advantage plans cannot set up tiered networks, Ignagni said. Some providers force health plans to sign contracts that forbid disclosure of certain information to consumers, creating another barrier to cost savings, Ignagni said. Insurers should also be allowed to offer wellness incentives for enrollees in individual plans, she said.

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