Abstract
In the quest to harness health plan value, over the past few years a number of companies have started to experiment with value-based insurance design (VBID). Although the popularity of the concept had been growing in private industry, its inclusion in the Patient Protection and Affordable Care Act thrust VBID into the limelight. Which employers should contemplate adding a VBID element to their health plan, and what should they make of the recent VBID regulatory action? This article answers these questions and informs health benefits managers on how to leverage the use of a VBID to extract more value out of their health plan.
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