Health plans provide essential health care coverage to millions of Californians, while continuously driving affordability for their members by aggressively negotiating rates with providers such as hospitals, doctors and drug companies.
We Negotiate Drug Pricing
Prescription drugs remain one of the top cost drivers of health plan premiums. Because health plans are required to spend at least 80-85 cents of every dollar on medical care, premiums directly reflect the cost of medical care. As the price of prescription drugs rise, so do premiums. Health plans are committed to tackling the high cost of prescription drugs by advocating for better policies that will bring down prices for consumers. Learn more.
We Advocate for Lower Hospital and Physician Rates
Hospital and provider prices continue to rise. A Health Affairs February 2019 study found that hospital prices grew 42% from 2007 to 2014 for inpatient care for employer-sponsored health coverage. While physician prices rose during that same time period by 18% for employer-sponsored insurance. Health plans work hard to negotiate for lower costs for these services while still making high quality care a top priority.
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