USING GLOBAL RATINGS OF HEALTH PLANS TO IMPROVE THE QUALITY OF HEALTH CARE

Jacob Glazer, Thomas G. McGuire, Zhun Cao and Alan Zaslavsky

Chapter 5 in Models of Health Plan Payment and Quality Reporting, 2017, pp 105-133 from World Scientific Publishing Co. Pte. Ltd.

Abstract: Global ratings, such as those based on consumer satisfaction, are a commonly used form of report on the performance of health plans and providers. A simple averaging of the global rating by plan members leads to a problem: it gives a plan greater incentives to improve services used by low-cost members than services used by high-cost members. This paper presents a formal model of consumer formation of global ratings and the incentives these rating convey to plans. We use this model to characterize weights on consumer respondents to correct the incentive problem. We implement our proposed solution using data from the Consumer Assessments of Health Care Providers and Systems (CAHPS) and the Medicare Current Beneficiary Survey (MCBS). Our correction is low-cost, easily implemented on an on-going basis, and insensitive to assumptions about why health plans care about quality ratings.

Keywords: Health Insurance; Regulation; Adverse Selection; Efficiency; Fairness; Risk Adjustment; Quality Reporting (search for similar items in EconPapers)
JEL-codes: I13 (search for similar items in EconPapers)
Date: 2017
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.worldscientific.com/doi/pdf/10.1142/9789813202887_0005 (application/pdf)
https://www.worldscientific.com/doi/abs/10.1142/9789813202887_0005 (text/html)
Ebook Access is available upon purchase.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wsi:wschap:9789813202887_0005

Ordering information: This item can be ordered from

Access Statistics for this chapter

More chapters in World Scientific Book Chapters from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().