RELEASE: State of Minnesota Announces Advantage Value for Diabetes Pilot Program

For Immediate Release
December 7, 2017

State of Minnesota Announces Advantage Value for Diabetes Pilot Program

St. Paul — The State of Minnesota announces a new pilot program in 2018 for employees and their families with diabetes covered under state insurance. The program, Advantage Value for Diabetes, is run by Minnesota's State Employee Group Insurance Program (SEGIP), and is built on a value-based insurance design. Minnesota is one of the first states to adopt a value-based design in its state employee insurance benefits.

“The State of Minnesota cares about the health and well-being of our employees and their families,” Minnesota Management and Budget Commissioner Myron Frans said. “This pilot programs allows us to support those who are living with diabetes, ensuring they have access to important medical services and prescription drugs when they need it.”

Value-based insurance design reduces member out-of-pocket costs for high-value clinical services, such as physician office visits and routine lab tests. This helps reduce the progression of a chronic condition and the risk of complications. The lower cost helps encourage greater use of such services.

Developed by SEGIP staff with the partnership of the state's participating labor unions, the pilot program will initially focus on diabetes, which affects thousands of Minnesota state employees. Diabetes can have complications that are painful and debilitating to the member and costly to the health plan. Fortunately, quality of life can be maintained through effective management of the condition, including timely care, behavioral changes, and adherence to medication.

With Advantage Value for Diabetes, cost-sharing is lowered for high-value health care services, prescription drugs, and diabetic supplies. Members selecting the most cost-efficient primary care clinics in SEGIP’s tiered provider network will pay nothing out-of-pocket for eligible medical services.

“The benefit of this program is that it reduces the key barriers of copays and deductibles to services that have been shown to be effective in treating a serious chronic condition,” said Minnesota Health Commissioner Dr. Ed Ehlinger.  “We should eliminate as many barriers as possible for services essential for people to be healthy.”

Advantage Value for Diabetes also recognizes the connection between diabetes and other chronic conditions. Eligible members will receive discounts on medication for high blood pressure, high cholesterol, and depression, in addition to diabetes medication, as effective management of one condition can be helpful with the management of another.

"Advantage Value will help the state get better value in our health care spending by encouraging our members to get the most appropriate health care for them, so for us it's a win win," said SEGIP Acting Director Galen Benshoof.

SEGIP covers 128,000 state employees, retirees, and dependents. The program is administered by Minnesota Management & Budget. For more information, visit the Advantage Value section of the SEGIP website.

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Contact: Keith Hovis, Minnesota Management & Budget
Director of Communications
651-259-3666, Keith.Hovis@state.mn.us