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What is consumer-driven health care?

The idea

Consumer-driven health care is a new trend in which you are given the tools, resources and financial incentives you need to become a more informed, engaged health care “consumer.” We believe that giving you more power in the process can help control the rising cost of health care and health coverage.

When you buy a car, you get to choose options, quality, price, and service - and you spend your money to get the best deal on the qualities you want. Likewise, in consumer-driven health care you are given more power to make choices about how your health care dollars are spent.

The coverage

Consumer-driven health care often involves medical insurance coverage that usually costs less than conventional designs. Frequently, the member is given the option to put some of the money they save into a savings or reimbursement vehicle such as a Health Savings Account (HSA), Health Reimbursement Arrangement (HRA) or Flexible Spending Account (FSA). The member is given the choice of how to spend that money, and there are often tax, savings or accumulation advantages that can be gained by using these funds wisely.

The tools

With this empowerment, you need information and tools to help research price and quality, select appropriate providers, become your own health care advocate, and ultimately, improve your health. To make this work, you’ll need to get involved. You need to ask questions and feel confident doing so.

Principal Life can help

At Principal Life, we’re constantly developing new resources to help you make the most of your benefits and take a vital roll in your health care. Our products feature robust preventive care benefits, and our Principal HealthyConnections program provides health & wellness tools and resources that encourage members to improve health and help control costs.

For more information

  • Contact your employer or human resources representative
  • Call the 1-800 number on your insurance or member ID card

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