Businesses Head to Source for CareSeptember 13, 2013 – In The News
Elizabeth Litten was quoted in the NJBiz article “Businesses Head to Source for Care." While the full text can be found in the September 2013, issue of NJBiz, a synopsis is noted below.
More and more employers are skipping the middleman, bypassing insurance companies for their employees’ health care coverage and contracting directly with health providers.
“I think there is a trend toward direct contracting arrangements as a way to target and tailor employee health needs in a way that the employees healthier, and costs the employer less in the long run,” says Elizabeth Litten.
Does this growing trend spell the downfall of traditional insurance companies? Not necessarily, according to Litten, who says insurance companies will play an important role in terms of insurance coverage as opposed to care management.
“Not many insurance companies do well at care management,” Litten says. “Insurance companies have teams of actuaries and lots of patient risk data and will be needed for stop-loss coverage.”