As the true impact of COVID-19 continues to reveal itself, the rising cost of healthcare will only worsen, due to pent-up demand following deferred care and the direct costs of testing, treatment and vaccinations. Experts anticipate this could drive healthcare costs hundreds of billions of dollars higher in just a few years.
As a result, benefit advisers won’t be able to rely solely on traditional strategies. More than ever before, employer clients will need innovative and highly customizable approaches to control costs and address the healthcare needs of their member populations. Reference-based pricing (RBP) is one such winning formula, especially since the model has evolved into a more powerful disruptive force.
