The Evolution of Reference-Based Pricing

As group health insurance costs continue to rise, employers, their plan members, and their benefits consultants are hungry for ways to control costs and maintain benefit offerings. Many consider one of the primary cost drivers to the rising cost of health insurance to be the cost of facility-based care. Employer-sponsored health plans pay on average 2 – 3 times what Medicare pays for the same service when accessed through traditional insurance networks, and the rate of inflation for facility-based healthcare has far outpaced any other good or service for 15+ years...