Europe’s Insurance Exchanges Can Offer U.S. Lessons on Combatting Risk Selection

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<p>One of the most vexing issues faced by health insurance regulators everywhere is risk selection—the term used to describe efforts insurers employ to attract healthier enrollees and avoid sicker ones. In the U.S., risk selection may become an even bigger concern, as more people enroll in health plans through the insurance marketplaces and competing organizations seek to minimize their cost exposure.</p><p>In a new <em>Health Affairs</em> article based on Commonwealth Fund-supported research, Wynand P. M. M. van de Ven and colleagues describe the experience of European insurance exchanges—some of which have been in operation since the 1990s—in battling a practice that can jeopardize the quality of care delivered to patients with high health needs. The researchers discuss the successes and mistakes of exchanges in Europe, the role of risk adjusters and risk sharing, and the critical importance of systematic data collection.</p> Read the study