strategy+business is published by PwC Strategy& LLC.
or, sign in with:
strategy and business
 / Second Quarter 2000 / Issue 19(originally published by Booz & Company)


Health Care's New Electronic Marketplace

Who in 1970 would have predicted that in 2000, tens of millions of Americans would be actively managing their retirement portfolios with home computers? We see an analogous transition about to happen with health benefits. Indeed, employer-managed, defined-benefit health plans will be largely gone within the next 15 to 20 years, and perhaps sooner.

Their demise seems inevitable — to winners and losers alike in the coming transition to defined-contribution, consumer-driven health benefits.

Reprint No. 00204

J. Philip Lathrop, [email protected]
J. Philip Lathrop is an advisor on managed care to Booz Allen Hamilton.

Gary Ahlquist, [email protected]
Gary Ahlquist is a senior vice president with Booz Allen Hamilton’s Chicago office. He specializes in the strategy-driven transformation of insurance companies, health plans, and health-care providers.

David G. Knott, [email protected]
David G. Knott is a vice president with Booz Allen Hamilton in New York. Dr. Knott leads the firm’s strategy work in the health services sector.
Follow Us 
Facebook Twitter LinkedIn Google Plus YouTube RSS strategy+business Digital and Mobile products App Store



  1. J. Philip Lathrop and David C. Carlebach, "HMOs 'R' Us: A Prescription for the Future," strategy+business, Fourth Quarter 1998: Click here.
  2. John McCarron, "Stand By for the Next 'Worst Leg' of Our Health Insurance Trip," Chicago Tribune, February 14, 2000
  3. Shailagh Murray, "Why Health Insurance That Works Still Fails to Catch on Broadly," The Wall Street Journal, January 18, 2000
  4. Ron Winslow and Carol Gentry, "Companies Consider Letting Employees Handle Their Health-Benefits Decision," The Wall Street Journal, February 8, 2000
  5. American Association of Health Plans, Washington, D.C.: Click here.
  6. eBenX, Minneapolis, Minn.: Click here.
  7. Health Care Financing Association, Baltimore, Md.: Click here.
Sign up to receive s+b newsletters and get a FREE Strategy eBook

You will initially receive up to two newsletters/week. You can unsubscribe from any newsletter by using the link found in each newsletter.