Consumer price sensitivity in Dutch health insurance

• DOI: 10.1007/s10754-008-9038-y
• Publication Date: 2008-08-16T05:08:44Z
• Authors: Machiel van Dijk; Marc Pomp; Rudy Douven; Trea Laske-Aldershof; Erik Schut; Willem de Boer; Anne de Boo
• Keywords: Adult; Male; National Health Programs; Decision Making; Economics, Econometrics and Finance(all); Article; Health(social science); 03 medical and health sciences; Universal Health Insurance; Humans; Netherlands; Economic Competition; Insurance, Health; Managed Competition; Age Factors; Consumer Behavior; Middle Aged; Fees and Charges; Health Care Reform; Costs and Cost Analysis; EMC NIHES-05-63-03 Competition; Female; 0305 other medical science; Finance; Models, Econometric

To estimate the price sensitivity of consumer choice health insurance firm.Using paneldata flows insured between pairs Dutch sickness funds during period 1993-2002, we these to differences in premium.The elasticity residual demand for was low confirming earlier findings based on annual changes market share. We find small but significant elasticities basic insignificant supplementary insurance. Young enrollees are more sensitive than older enrollees.Competition weak under study. For market-based reforms that currently way, this implies measures promote competition industry may be needed.