New medical technologiespharmaceuticals, medical devices, and proceduresoften allow great improvements in the outcomes of medical care, but they are also widely believed to be a major cause of increasing costs. Selective adoption of new technologies is crucial in the quest to control health care costs while preserving or enhancing the quality of care.
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Steven Garber (Ph.D. (Economics) University of Wisconsin, Madison, August 1976) is a senior economist, Rand. Susan Ridgely (J.D., 1995, University of Maryland School of Law) is a CoInvestigator, UCLA/RAND Research Center on Managed Care and Psychiatric Disorders and a CoInvestigator, Rand Drug Policy Research Center.
This guide exmaines the adoption of innovative medical techniques by managed care organization (MCOs). The authors discuss how the MCO's make medical-necessity and payment decisions involving these technologies and the ways in which this process could be improved.
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