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Purchasing coalitions and managed care.

T Hausner1

  • 1Office of Managed Care, Health Care Financing Administration, Rockville, MD, USA.

Managed Care Quarterly
|December 4, 1995
PubMed
Summary
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Purchasing coalitions using managed care plans demonstrate significant cost savings and improved quality. These strategies reduce unnecessary healthcare services, benefiting large public employee groups.

Area of Science:

  • Health Services Research
  • Healthcare Management
  • Public Health Policy

Background:

  • Managed care plans are increasingly utilized by large organizations to control healthcare costs.
  • Purchasing coalitions leverage collective bargaining power to negotiate better healthcare services.
  • Evaluating the effectiveness of managed care within these coalitions is crucial for optimizing healthcare delivery.

Purpose of the Study:

  • To analyze the role and effectiveness of managed care plans within employer purchasing coalitions.
  • To examine specific case studies, including the California Public Employees Retirement System (CalPERS) and other employer coalitions.
  • To assess the impact of managed care features on cost, service utilization, and quality.

Main Methods:

  • Comparative case study analysis of four employer purchasing coalitions.

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  • Examination of managed care plan structures and contractual arrangements.
  • Review of reported outcomes related to cost savings, service efficiency, and quality improvements.

    • Main Results:

    • Coalitions utilizing managed care and managed competition reported significant cost savings.
    • Reductions in the utilization of unnecessary healthcare services were observed.
    • Improvements in the quality of care were a reported outcome for participating organizations.

    Conclusions:

    • Managed care plans within purchasing coalitions offer a viable strategy for achieving cost efficiencies.
    • The integration of managed care principles can lead to reduced healthcare waste and enhanced service quality.
    • These models provide valuable insights for other organizations seeking to optimize their healthcare purchasing power.