4 Steps to Control Health Care Costs with Predictive Analytics

All of the above actions result in lowering expenses, although many of the gains come at the expense of covered members who see the “watering down” of benefits as a cut in pay. The recent emergence of reference-based and costplus pricing services deserve applause for locating other sources of savings (i.e. eliminating excessive charges for many clinical services and supplies), but these services do not purport to improve health or reduce the frequency or gravity of disease and clinical procedures. Moreover, plan quality requirements set forth in the Affordable Care Act are further constraining benefit advisers and leaving them with fewer and fewer options. Sooner or later, the painful truth becomes clear; a cost-side approach can accomplish only so much.