Factors Influencing the Success of Value-Based Insurance Design Programs

The researchers will conduct a series of natural experiments examining value-based insurance design plans (VBID) implemented by CVS Caremark, a large pharmacy benefit manager, on behalf of numerous clients. They will evaluate the impact of different VBID characteristics on patterns of adherence, discontinuation and use of statins by (1) developing a system to classify differences in VBID plan characteristics that may influence the ability of these plans to stimulate the use of evidence-based medications; (2) surveying plan administrators and plan sponsors to identify additional plan features that might confound the relationship between VBID plan characteristics and medication use; and (3) using pharmacy claims to determine which VBID design features (and combinations thereof) most effectively stimulate appropriate medication use. The objective of this project is to determine the factors that influence the success of value-based insurance design plans (VBID) and to develop “best practices” for future implementation.