Determining the economic value of disease management programs for employers.

report issued by the Congressional Budget Office (CBO) on October 13, 2004 set in motion a national debate on the economic value of disease management (DM) programs and sent shock waves through the industry with the statement that “there was insufficient evidence to conclude that disease management programs can generally reduce overall health spending.”1 The Congressional Budget Office left little doubt, however, that positive and credible evidence exists in the peer-reviewed literature regarding the clinical health benefits of such programs. These “mixed messages” from a respected independent source (CBO) raise a question for private sector purchasers: How should employers proceed with implementation of DM or similar proactive health interventions for their employees, retirees, and family beneficiaries? This position paper addresses that question.