Diabetes Care in The Netherlands: - Novo Nordisk

Insurers are supporting quality improvement, but they areconfrontedInsurers arewithsupporting(perceived)qualityfinancialimprovement,disincentivesbut they areconfronted with (perceived) financial disincentivesPerception that investing in diabetes care is only delaying and noteliminating complications and therefore not generating revenues• This perception is invalide but will need to be addressed specificallyLowDifferences in risk exposure to primary care and specialist• The risk and budget allocation mechanism lead to a lower risk burden for theinsurer for hospital care versus primary careImpactHigh quality diabetes care may attract more than fair-share diabetespatients• Diabetes patients seem to be on average loss-making even after budgetallocation corrections(Hospital) capacity that is freed up by quality improvements, tends to fillup with other patients (leading to double cost)• Cost benefits on the patient-level often lost due to extra volume from otherpatientsHighInsurers do invest in initiatives – but they tend to see it as a qualitydifferentiator with no or modest economic benefitsSource:Booz & Company analysisBooz & Company 14 November 201134Prepared for Novo Nordisk27