Effects of Coinsurance: A Multivariate Analysis

A study of the impact of coinsurance on physician expense, ancillary services, and ancillary services expense.  When a 25% coinsurance rate was introduced to the Palo Alto Group Health Plan, the members' demand for medical care was significantly reduced, other things remaining the same.  This study differs from the preceding article in that it holds all other variables constant while changing one variable- this is, it considers the partial effect of each variable. (June 1972)