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Consumer-Driven Health Care Presentation to National Consumer-Driven Health Care Summit by John C. Goodman September 13 PowerPoint Presentation
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Consumer-Driven Health Care Presentation to National Consumer-Driven Health Care Summit by John C. Goodman September 13, 2006. National Center for Policy Analysis Making Ideas Change the World. Understanding Health Care. Red Queen Seven Dwarfs Little Red Riding Hood.

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Consumer-Driven Health CarePresentation toNational Consumer-Driven Health Care SummitbyJohn C. Goodman September 13, 2006

National Center for Policy Analysis

Making Ideas Change the World

understanding health care

Understanding Health Care

Red Queen

Seven Dwarfs

Little Red Riding Hood

compare to other professionals
Compare to Other Professionals
  • Lawyers
  • Accountants
  • Engineers
  • Architects
  • Economists
how are doctors paid
How Are Doctors Paid?
  • Third-Parties Set the Fees
how are doctors paid1
How Are Doctors Paid?
  • Third-Parties Set the Fees
  • Third-Parties Pay the Fees
payment for doctor services
Payment for Doctor Services

90%

Third-Party

Payers

10%

Out-of-Pocket

thought experiment

Thought Experiment

OTC Purchasers

principle

Principle:

Health Care Can Be

Free

or Easily Accessible.

But Not Both

how are doctors paid2
How Are Doctors Paid?
  • Third-Parties Set the Fees
  • Third-Parties Pay the Fees
  • Third-Parties Pay by Task
result no 1

Result No. 1:

When Doctors Don’t Compete for Patients on the Basis of Price, They Don’t Compete at All

result no 2

Result No. 2:

Gainers: Patients With Trivial Problems

Losers: The Chronically Ill

unmet needs potential drug use vs current system
Unmet Needs: Potential Drug Use vs. Current System

1500%

1200%

1000%

200%

Asthma

Obesity

High

Cholesterol

Hyper-tension

ideal treatment of the chronically ill
Ideal Treatment of the Chronically Ill
  • Telephone
  • Email
  • Medical Records
  • Patients & Doctors Profit from Good Behavior
exceptions
Exceptions
  • Minute Clinics
  • TelaDoc
  • Concierge Doctors
representative hsa plan in the u s
Representative HSA Plan in the U.S.

INSURANCE

...$2,000

EXPENSE

OUT-OF-POCKET

…$1,500

HSA

FREQUENCY

medical inflation
Medical Inflation

Medical Services

All Goods

Cosmetic Surgery

stages of consumer driven health care1
Stages of Consumer-Driven Health Care
  • Choosing Health Plans
  • Managing Health Care Dollars
stages of consumer driven health care2
Stages of Consumer-Driven Health Care
  • Choosing Health Plans
  • Managing Health Care Dollars
  • Managing Health Care
patients managing their own care1
Patients Managing Their Own Care
  • Online Research
  • Online Consultations
patients managing their own care2
Patients Managing Their Own Care
  • Online Research
  • Online Consultations
  • Online Second Opinions
patients managing their own care3
Patients Managing Their Own Care
  • Online Research
  • Online Consultations
  • Online Second Opinions
  • Online Purchases
patients managing their own care4
Patients Managing Their Own Care
  • Online Research
  • Online Consultations
  • Online Second Opinions
  • Online Purchases
  • Self-Monitoring Devices
slide45

National Center for Policy Analysis

Making Ideas Change the World