Popularity of health-insurance comparison websites calls for a balanced presentation of policy information

Comparison websites play an increasingly important role in the selection of health insurance policies. In addition, these sites are seen as trustworthy. These are some of the conclusions in the annual ACM Health Care Monitor of the Netherlands Authority for Consumers and Markets (ACM), which looks at switching behavior among insured. In order to serve all insured well, it becomes more and more critical that comparison sites are clear: everyone must be able to find relevant, objective, and accessible policy information. Health insurers and comparison sites are together able to help realize that ambition. In turn, it can mitigate the risk of solidarity coming under pressure as a result of a divide between individuals that do switch and those that do not switch.

What has been the issue?

The Health Care Monitor has revealed that the groups of switchers and non-switchers differ from each other. Those that switch health insurers are more likely to be healthy, young, and male, and to have a college degree. They are also more likely to think that they do not need health care. These switchers often use comparison websites, where the insurance’s price often determines their choices. In addition, switchers are more likely to find comparison websites trustworthy (or very trustworthy).

Insured that contemplate switching act as an incentive for health insurers to make attractive offers at competitive prices. This will benefit all insured that look for the same benefits in the different policies. Emphasis should not be exclusively placed on price. After all, there is a large group of individuals that find other aspects of health insurance policies important such as coverage of health care services, freedom of choice in health care, and the service provided by health insurers. This calls for an objective and accessible overview of the policies from which insured are able to choose. The ranking of policies on comparison websites must be transparent and must be based on those aspects that that particular individual finds important, and should not be based on, for example, the commission of the health insurer.

Solidarity under pressure

Without a relevant, objective and accessible overview of the various policies, there is a risk that a large group of insured will insufficiently be given the opportunity to contemplate switching insurers. That may result in these non-switchers ending up footing the bill for the cheaper insurance policies of the switchers. A divide between individuals that do switch and those that do not switch is detrimental to the principle of solidarity in the health care system. The foundation of the Dutch health care system is the idea that no distinction is made between healthy and sick individuals, or between young and old or between those with college degrees and those without college degrees.

About the study

The Health Care Monitor was conducted by Motivaction, a Dutch independent research agency, commissioned by ACM, among a representative sample of over 1,600 Dutch individuals aged 18 to 80. The results are representative for aspects such as educational attainment, age, gender, region, and size of household.

See also

25-06-2021 Health Care Monitor 2021 (in Dutch)