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Revisiting employee benefits managers.

J M Thompson1, D A Draper, R E Hurley

  • 1Health Services Administration Program, James Madison University, Harrisonburg, Virginia, USA.

Health Care Management Review
|November 26, 1999
PubMed
Summary
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Employers shifted health benefits from paternalistic approaches to managed care plans, increasing employee cost-sharing and decision-making. Employee Benefits Managers (EBMs) influenced provider networks but limited use of quality data.

Area of Science:

  • Health Services Research
  • Healthcare Management
  • Employee Benefits

Background:

  • Employers' health benefit strategies evolved significantly between 1991 and 1998.
  • A shift from traditional indemnity plans to managed care was observed.

Purpose of the Study:

  • To examine changes in health purchasing practices by Employee Benefits Managers (EBMs).
  • To understand the influence of EBMs on health plan design and employee decision-making.

Main Methods:

  • A longitudinal case study approach was employed.
  • Interviews were conducted with EBMs in a medium-size metropolitan area in 1991 and 1998.

Main Results:

  • Employers reduced paternalism in health benefits.

Related Experiment Videos

  • A notable shift occurred from indemnity coverage to managed care options.
  • Employee cost-sharing increased, with greater decision-making authority transferred to employees.
  • EBMs actively influenced provider networks and performance requirements, but quality information utilization remained minimal.

    • Conclusions:

    • Employer health benefit strategies became less paternalistic and more employee-centric.
    • Managed care adoption and increased employee cost-sharing characterized benefit trends.
    • EBMs played a key role in shaping health plans, yet a gap exists in leveraging quality data for decision-making.