Abstract：
:Tiered and narrow provider networks are mechanisms implemented by health plans to reduce health care costs. The benefits of narrow networks for consumers usually come in the form of lower premiums in exchange for access to fewer providers. Narrow networks may disrupt continuity of care and access to usual sources of care. We examine choices of health plans in a private health insurance exchange where consumers choose among one broad network and four narrow network plans. Using a discrete choice model with repeated choices, we estimate the willingness to pay for a health plan that covers consumers' usual sources of care. Willingness to pay for a network that covers consumers' usual source of care is between $84 and $275/month (for primary care) and between $0 and $115/month (for specialists). We find that, given that a network covers their usual source of care, consumers show aversion only to the narrowest networks.
journal_name
J Health Econjournal_title
Journal of health economicsauthors
Higuera L,Carlin CS,Dowd Bdoi
10.1016/j.jhealeco.2018.06.006subject
Has Abstractpub_date
2018-07-01 00:00:00pages
90-97eissn
0167-6296issn
1879-1646pii
S0167-6296(17)30167-4journal_volume
60pub_type
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