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Today’s Turbulence Is Likely to Catalyze New Insurance Mechanisms

Purchasers (both government and commercial) are likely to respond to increasing costs by placing consumers in a position of greater choice – but with more significant responsibility – than in the past

The most dramatic incarnation of such a philosophy with a reasonable likelihood of implementation is employer-based defined-contribution

In some ways, this is a non-government reincarnation of “managed competition” as discussed in the early 1990s

As an alternative, national single-payer systems are again under discussion, but are not likely in the near future

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