Humana is moving carefully into the consumer directed healthcare arena. It has tested several approaches, including a tiered drug plan involving its own employees.

As first reported by Inside Consumer-Directed Care, Humana will soon introduce a new CDH product aimed at employers with fewer than 300 employees. The fully insured health plan – called SmartExpress - combines a high-deductible PPO with a health reimbursement arrangement (which Humana calls a Personal Care Account).

Human plans to provide a debit card to access their HRA funds. Employers also can choose to add an FSA.
As part of its approach to the consumer directed marketplace, Humana tried a little self-medication starting last year. In a test, 18% of Humana's employees (a total of about 3,000 employees and dependents) enrolled in a four-tier drug plan.

During the 2004 plan year, which began July 1, 42% were enrolled, says Beth Bierbower, vice president of product innovation.

Pharmacy Product Available

In July, Humana began rolling out its RxImpact pharmacy product in several markets and intends to make it available nationally by the end of the year. The product, which Humana piloted on its own employees last July, combines a tiered pharmacy benefit with elements of a consumer-directed plan.

The plan groups pharmaceuticals into allowance for the first three prescription tiers. RxImpact tends to be less costly for employers when compared to more traditional pharmacy benefits offered by Humana and other insurers, says Humana spokesperson Mary Sellers.