In this paper, we address this gap in the literature by describing a theoretical framework for long term impacts and empirically evaluating the long term effects of CDHPs on health care spending. We do the latter by analyzing up to 3 years of data post-CDHP offer from 54 large employers, half of which offered a diverse set of CDHPs to their employees. By investigating a diverse set of firms, we are able to analyze heterogeneities in long term CDHP impacts by CDHP plan structure.