On June 24, 2019, President Trump signed an executive order and bipartisan Senate legislation was introduced, both allowing health savings account eligible high-deductible health plans (HSA-HDHPs) the flexibility to cover essential medications and services used to treat chronic diseases prior to meeting the plan deductible.
These actions are the result of IHPI member Mark Fendrick, M.D.’s concept of implementing value based insurance design into policy discussions, the support of many collaborators, and his research through the Center for Value Based Insurance Design (V-BID Center), which Fendrick established in 2005.
Giving HSA-HDHPs the option to cover high-value services on a pre-deductible basis will help mitigate cost-related non-adherence and enhance patient-centered outcomes. Recent research by the V-BID Center indicates this type of public policy can provide millions of Americans a health plan option to better meet their clinical and financial needs, and will likely reduce federal expenditures.
In addition to his role as Director of the U-M Center for Value-Based Insurance Design, Dr. Fendrick is a founding partner of VBID Health, a company that assists employers, health insurance plans and health systems in designing health care benefits packages.