Longitudinal analyses of four years of experience of a prepaid comprehensive medical care plan. 1958.

Abstract

The spectacular contributions of science to medicine and the popularization of the results have greatly stimulated the demand on the part of the public for making modern medical benefits more readily accessible to a larger portion of the population. But the very advances which have stimulated this demand and which have focused attention on the preventive aspects of disease have also contributed greatly to the cost of medical care. On the one hand, this increased cost has led to an enormous growth in the application of the insurance principle to prepayment for medical and hospital care; on the other, it has led to new approaches in the organization of medical practice to provide this care. These changes in the methods of paying for and of providing medical care are comparative newcomers among American social institutions. Provision for prepayment of hospitalization began in 1933 with the establishment of Blue Cross plans. Prepayment of medical care is an even more recent phenomenon. Fewer than six persons per 1,000 held surgical and medical insurance in 1939. Today, according to the Health Information Foundation,2 almost 70 per cent of the population is protected or “covered” by some combination of hospital, surgical, or medical insurance. On the organizational side change has been less rapid, but there has been a steady growth in the number of group practice organizations. It has been estimated3 that while in 1932 there were 239 medical groups with 1,466 physicians in the United States, by 1951 there were 600 such groups with over 5,000 physicians. Growth in voluntary health insurance both in terms of people covered and in benefits offered will undoubtedly continue. New organizational patterns will continue to emerge. Unlike their predecessors, however, these new developments will be able to call upon a body of experience to guide them which was not available to most of the present voluntary prepayment plans for medical care at the time they were founded. The experience of one such plan—the Health Insurance Plan of Greater New York (HIP)—has been analyzed in the belief that it will be of value not only to HIP but also to administrators of other medical care plans, to welfare fund administrators, to public health officials, to community planners, to sociologists, and to the public in general, all of whom are interested in facts that bear on the problem of making the benefits of modern medical care available to the population. The HIP experience will be presented in three parts: Part I, the present paper, deals with enrollment experience and sets forth data on the extent to which enrollees of different classes remain in the Plan and factors influencing continuance of their enrollment; Part II will present information on the number and kinds of physicians’ services utilized by enrollees and how this utilization varies with length of coverage in the Plan; Part III will contain data on morbidity among enrollees of the Plan and will seek to develop measures of prevalence and incidence of various diagnoses as reflected in the operating records of HIP. These data represent the results of a “longitudinal” analysis of the first four years of operation in HIP—that is, they show the experience of the same group of individuals followed through four years of calendar time. They supplement material contained in a published report on the findings of a field survey inquiring into the health and medical care of HIP and New York City households4 which was essentially a cross-sectional study depicting the situation at a particular point in time.