Providers Paid Substantially Less By Marketplace Nongroup Insurers Than By Employer Small-Group Plans, 2021.

Numerous studies show that employer plans pay providers significantly more than Medicare, but less is known about prices in nongroup plans sold both on and off the Marketplaces established by the Affordable Care Act (ACA), where narrow networks and low-cost insurers are more prevalent. We estimated...

Full description

Bibliographic Details
Published in:Health Affairs Vol. 43; no. 12; pp. 1672 - 1680
Main Authors: Hanson, Caroline, McCarthy, Ian, Molloy, Eamon, Stockley, Karen
Format: research tables/charts Journal Article
Published: Health Affairs Publishing, LLC Dec2024
Online Access:View this record in EBSCOhost
fields @attributes:
  recordID: 1
pdfLink:
plink: https://search.ebscohost.com/login.aspx?direct=true&db=ccm&AN=190587897&site=ehost-live
header:
  @attributes:
    shortDbName: ccm
    uiTerm: 190587897
    longDbName: CINAHL Complete
    uiTag: AN
  controlInfo:
    bkinfo:
    dissinfo:
    jinfo:
      jid:
        02782715
        HAF
      jtl: Health Affairs
      issn: 02782715
      maglogo: N
    pubinfo:
      dt: Dec2024
      vid: 43
      iid: 12
      pid: 1453
      pub: Health Affairs Publishing, LLC
      place: Washington, District of Columbia
    artinfo:
      ui:
        190587897
        190587897
        190587897
        10.1377/hlthaff.2024.00913
        190587897
      ppf: 1672
      ppct: 8
      formats:
      tig:
        atl: Providers Paid Substantially Less By Marketplace Nongroup Insurers Than By Employer Small-Group Plans, 2021.
      aug:
        au:
          Hanson, Caroline
          McCarthy, Ian
          Molloy, Eamon
          Stockley, Karen
        affil: Congressional Budget Office, Washington, D.C.
      sug:
        subj:
          Insurance Carriers Economics
          Insurance, Health Economics
          Medicare Economics
          Health Benefit Plans, Employee Economics
          Health Insurance Exchanges Economics
          Human
          Patient Protection and Affordable Care Act
          Fee for Service Plans
          Insurance Coverage
          Adolescence
          Adult
          Employees
          Descriptive Statistics
          Adolescent: 13-18 years
          Adult: 19-44 years
      ab: Numerous studies show that employer plans pay providers significantly more than Medicare, but less is known about prices in nongroup plans sold both on and off the Marketplaces established by the Affordable Care Act (ACA), where narrow networks and low-cost insurers are more prevalent. We estimated prices for three market segments (Marketplace nongroup, off-Marketplace nongroup, and employer small group) and three types of services (professional, outpatient hospital, and inpatient hospital) relative to a Medicare benchmark. We used 2021 claims data covering virtually all enrollment in ACA risk-adjusted plans. In aggregate, in 2021, Marketplace prices were 152 percent of Medicare prices, whereas the prices paid in small-group employer plans were 179 percent of Medicare prices. Comparing across market segments, relative to employer small-group plans, Marketplace professional prices were 6.9 percent lower, inpatient prices were 13.3 percent lower, and outpatient prices were 26.3 percent lower. Off-Marketplace prices fell between Marketplace and employer small-group prices. The finding that nongroup prices were significantly lower than prices paid by employer small-group plans--more so than indicated by prior research--is important for understanding federal subsidies and affordability for nongroup coverage and evaluating policies such as a nongroup public option with prices capped at a percentage of Medicare prices.
      pubtype: Academic Journal
      doctype:
        research
        tables/charts
        Journal Article
      ougenre: Article
    language: English
    refInfo:
    holdings:
      @attributes:
        islocal: N