Adverse consequences of adverse selection

Article Abstract:

Issues are discussed regarding adverse selection and a change in the population joining managed care plans as the main cause of the managed care backlash.Statustucal evidence bears out the theory of increased citizen dissatisfaction with managed care as higher risk populations changed to this kind of coverage.Public policy needs to develop ways of dealing with the adverse selection cycle.

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Changing perceptions, changing reality

Article Abstract:

Issues are discussed regarding the managed care backlash as fueled by consumer frustration with the lack of choice and an effective role for the government in managed care reform. There must be greater government scrutiny of competitive behavior, especially of for-profit entities. Government should also enact patient bills of rights and ERISA should be reformed.

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