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In the present allocation of resources in healthcare, preferences of consumers as the ultimate financiers of healthcare services are judged to be of little relevance. This state of affairs is being challenged because the past decade has seen great progress in the measurement of preferences, or more precisely, willingness‐to‐pay (WTP) as applied to healthcare services. This article reports evidence on WTP of the Swiss population with regard to three hypothetical modifications of the drug benefit to be covered by social health insurance: delaying access to the most recent therapeutic innovations (among them, drugs) by two years in exchange for a reduction of the monthly premium; substituting original preparations by generics, again in return for a lowered premium; and the exclusion of preparations for the treatment of minor complaints from the drug benefit. Using discrete‐choice experiments, WTP and its determinants are estimated. Average WTP for avoiding such a delay (which acts across the board) is much higher than for eschewing the exclusive use of generics (which are claimed to be largely equivalent to the original) or the retention of 'unimportant' drugs in the list of benefits – a rating predicted by economic theory. In addition, a great deal of preference heterogeneity between the French‐speaking minority and the German‐speaking majority was found, pointing to considerable efficiency losses caused by uniformity of social health insurance.

The Contingent Valuation Method in Health Care is offered as a contribution to improving instruments of political decision making in health care. At a fundamental level, it is about methodological aspects of the contingent valuation method. It gives a holistic view of applying the contingent valuation method for use in policy. It shows all stages of a contingent valuation study beginning with the design, the choice of elicitation techniques and estimation methods for willingness-to-pay, the use of the results in a cost-benefit analysis, and finally, the policy implications resulting from our findings. The intended audience of The Contingent Valuation Method in Health Care are health economists interested in methodological problems of contingent valuation studies, people involved in health care decision making, planning, and priority setting as well as people interested in Alzheimer's Disease