Impact Of Cost Sharing At High Deductible Health Plans On Health Service Utilization

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The Impact of Cost-Sharing in High Deductible Health Plans on Health Service Utilization
Summary
Health insurance is protection against the risk of sustaining medical expenses among individuals. It provides financial protection in case of catastrophic illness and averts impoverishment.
In order to stem rising health care expenditures, many options including high deductible health plans that gives consumers the power to shape their own care and the incentives to economize have been proposed.
Little is known about the effect of these new plan designs with higher cost sharing on health care decisions. Because research has been limited to the few early adopters of these high deductible health plans, the experience is too new to draw definitive conclusions.
This paper researches the literature on effects of the cost-sharing in high deductible health plans on the use of health services and if cost savings are generated at the expense of necessary care or the result of delayed or inappropriate avoidance of care. 

Background
Function of Health Insurance
Health insurance functions to reduce financial barriers to needed care and to protect against financial hardship from medical bills. Research shows that uninsured individuals are likely to obtain preventive care and management of their chronic conditions, and more likely to suffer negative health consequences. (Remler)
If out of pocket expenses are set too high or benefits are too limited, even those insured may have comparable
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