Health Affairs, 25, no. 6 (2006): w516-w530 (Published online 24 October 2006) doi: 10.1377/hlthaff.25.w516 © 2006 by Project HOPE	New Online   May/June Issue: Health Reform Revisited   Reform and '08 Election   Promoting off-label drug use information

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Consumer-Directed Health Care: Early Evidence About Effects On Cost And Quality

Demand for consumer-directed health care (CDHC) is growing among purchasers of care, and early evidence about its effects is beginning to emerge. Studies to date are consistent with effects predicted by earlier literature: There is evidence of modest favorable health selection and early reports that consumer-directed plans are associated with both lower costs and lower cost increases. The early effects of CDHC on quality are mixed, with evidence of both appropriate and inappropriate changes in care use. Greater information about prices, quality, and treatment choices will be critical if CDHC is to achieve its goals.

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