CIGNA's Choice Fund account-based consumer-driven health plans reduced medical costs by 13 percent relative to HMO and PPO plans, according to a study released today by the insurer.
The multi-year study compared the healthcare claims of nearly 440,000 people covered by CIGNA's CDHPs and traditional HMOs and PPOs and found that individuals enrolled in CDHPs who use more preventive services can have reduced healthcare costs if they comply with their medical treatments.
"In these tough economic times, it's critical that we all do what we can to cut medical costs without cutting care," said Jeffery Kang, MD, chief medical officer at Cigna. "Critics of consumer-driven health plans contend that people will sacrifice their health to save money, when in fact our data show that account-based plans save money even as individuals receive the same or higher levels of care than those in traditional health plans."
According to Kang, CIGNA reviewed claims for 22,000 individuals who had either hypertension or diabetes and found that medical cost trend was substantially less for those with CDHPs, while their treatment regimens were the same or better than those in traditional HMOs and PPOs.
The study also found that medical cost trend was substantially less for CIGNA Choice Fund customers with diabetes (20 percent less) or hypertension (18 percent less) than for individuals with either of those diseases in traditional CIGNA health plans. Notably, these individuals maintained similar treatment regimens regardless of whether they were covered by CDHP, HMO or PPO plans, suggesting that the lower cost trend are likely a result of better chronic disease management, rather than patients foregoing recommended care.
In the first year, pharmacy cost trend for those covered by CIGNA Choice Fund plans was 10 percent lower than traditional plan cost trend, with the use of generic medications being nearly 5 percent higher among individuals covered by CIGNA CDHPs.
"Not only does the data show that consumer-driven health plans save money without compromising care, but there is mounting evidence that suggests people in these plans are increasingly engaged and smarter about their health care," Kang said
The study also found that CIGNA Choice Fund enrollees continued to receive recommended care at the same or higher levels as those enrolled in traditional plans in an evaluation of compliance with more than 300 evidence-based measures of healthcare quality.