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A new prevention paradox: The trade-off between reducing incentives for risk selection and increasing the incentives for prevention for health insurers

  • Kanters, Tim A.
  • Brouwer, Werner B.F.
  • van Vliet, René C.J.A.
  • van Baal, Pieter H.M.
  • Polder, Johan J.

The Dutch risk equalization scheme has been improved over the years by including health related risk adjusters. The purpose of the Dutch risk equalization scheme is to prevent risk selection and to correct for predictable losses and gains for insurers. The objective of this paper is to explore the financial incentives for risk selection under the Dutch risk equalization scheme.

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File URL: http://www.sciencedirect.com/science/article/pii/S0277953612007411
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Article provided by Elsevier in its journal Social Science & Medicine.

Volume (Year): 76 (2013)
Issue (Month): C ()
Pages: 150-158

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Handle: RePEc:eee:socmed:v:76:y:2013:i:c:p:150-158
DOI: 10.1016/j.socscimed.2012.10.019
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  1. van de Ven, Wynand P.M.M. & Beck, Konstantin & Van de Voorde, Carine & Wasem, Jurgen & Zmora, Irit, 2007. "Risk adjustment and risk selection in Europe: 6 years later," Health Policy, Elsevier, vol. 83(2-3), pages 162-179, October.
  2. Heijink, Richard & Noethen, Manuela & Renaud, Thomas & Koopmanschap, Marc & Polder, Johan, 2008. "Cost of illness: An international comparison: Australia, Canada, France, Germany and The Netherlands," Health Policy, Elsevier, vol. 88(1), pages 49-61, October.
  3. van Baal, P.H. & Feenstra, T.L. & Polder, J.J. & Hoogenveen, R.T. & Brouwer, W., 2011. "Economic evaluation and the postponement of health care costs," Other publications TiSEM ee3d1a20-234a-46d7-8acd-d, Tilburg University, School of Economics and Management.
  4. Pieter H. M. van Baal & Talitha L. Feenstra & Rudolf T. Hoogenveen & G. Ardine de Wit & Werner B. F. Brouwer, 2007. "Unrelated medical care in life years gained and the cost utility of primary prevention: in search of a 'perfect' cost-utility ratio," Health Economics, John Wiley & Sons, Ltd., vol. 16(4), pages 421-433.
  5. Hans Maarse & Yvette Bartholomée, 2007. "A public–private analysis of the new Dutch health insurance system," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 8(1), pages 77-82, March.
  6. Glazer, Jacob & McGuire, Thomas G., 2002. "Setting health plan premiums to ensure efficient quality in health care: minimum variance optimal risk adjustment," Journal of Public Economics, Elsevier, vol. 84(2), pages 153-173, May.
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