Health plan diagnostics: what plan sponsors and trustees need to know

The needed information for diagnosing the cost-effectiveness of the health plan includes understanding where cost pressures are coming from, how the plan compares to other plans and the key characteristics of the covered group. Allocating resources for the staff or consultants to produce and analyze this information is a wise investment. Two case studies illustrate the power of plan diagnostics to lead to positive solutions that address cost increases--without hurting plan members.