What are the Provisions in the New Law for Containing Costs and How Effective will They be?

A report funded by the Robert Wood Johnson Foundation examines how cost controls in the Patient Protection and Affordable Care Act could affect the amount of money Americans spend on health care and insurance.

According to Urban Institute author Stephen Zuckerman, cost containment is likely to be the most difficult challenge facing health reform. As opposed to efforts to expand coverage, there is much less agreement on the likelihood of success for various approaches to controlling costs. Because of this, policy-makers are trying a wide array of approaches to control costs that will draw on competition among health plans, taxes on high-cost insurance plans, delivery system and payment reforms, wellness programs, and direct controls over Medicare provider payments.