Consumer-driven health plans - high-deductible plans usually paired with a tax-advantaged savings account such as a health reimbursement account (HRA) or health savings account (HSA) - have been getting mixed reviews in the press recently. While some companies and communities have reported failed attempts at gaining employee acceptance of these, enrollment in CDHPs is increasing in the Milwaukee area. The secret of success? According to The Business Journal of Milwaukee, employees must be educated about the health plans and given some incentive to enroll. “The key to achieving higher enrollment is making sure employees understand how the plan works,” according to Kristine Seymour, president of Louisville, Ky.-based Humana’s Wisconsin market.

Various tools are used to educate consumers about CDHPs. An on-line instrument allows people to determine which plan works best for their family. Additionally, people are taught how to become educated healthcare consumers. As our return blog readers know, consumer engagement frequently is highlighted as a major focus, and is a major aspect of healthcare reform.

Some companies offer incentives, including contributing to the savings accounts. This technique is especially useful if companies want to steer their employees to CDHPs when they are also offered more traditional plans such as PPOs. According to Clark Slipher, a consulting actuary for Milliman Consultants & Actuaries, states “Employers who have stuck with the plan tend to see increased enrollment over time as employees learn more about it. Clients that see higher enrollment are generous with their contributions to spending accounts and have provided good education.”

The future of consumer-driven health plans remains to be seen, but what is certain is that consumers, employers and providers need to work together to improve the value of healthcare.