Effect of curtailed insurance benefits on use of mental health care: The tenneco health plan

Shan P. Tsai, Susan Miller Reedy, Edward J. Bernacki, Eun Sul Lee

Research output: Contribution to journalArticle

13 Scopus citations

Abstract

This article presents the impact of a health insurance benefit redesign on utilization and costs for mental health care in a large Corporation. The design change primarily limited coverage to 45 days of hospitalization and 20 outpatient visits. Group health insurance data before and after the benefit changes (effective January 1, 1984) were compared and analyzed. Per capita charges for mental health care between 1983 and 1985 decreased by 41%, from $89 to $53. Responses to the benefit modifications differed for inpatient and outpatient Services. Inpatient costs and length of stay decreased dramatically, especially for dependents, while utilization rates remained about the same. Statistically significant increases occurred for outpatient care utilization and costs.

Original languageEnglish (US)
Pages (from-to)430-440
Number of pages11
JournalMedical care
Volume26
Issue number4
DOIs
StatePublished - Apr 1988

Keywords

  • Benefit redesign
  • Costs
  • Insurance
  • Mental health care
  • Utilization

ASJC Scopus subject areas

  • Public Health, Environmental and Occupational Health

Fingerprint Dive into the research topics of 'Effect of curtailed insurance benefits on use of mental health care: The tenneco health plan'. Together they form a unique fingerprint.

  • Cite this