Forbes March 25, 2025
The U.S. healthcare system is at a crossroads, embarking on a crucial transformation in how care is financed. For decades, we’ve operated under a fee-for-service (FFS) model, which incentivizes service volume with little accountability for efficacy or costs. According to the Commonwealth Fund, this model contributes to poor healthcare access, lower care quality and lack of care continuity and is a factor behind the staggering per-capita healthcare costs in the U.S., which are the highest in the world.
Additionally, the FFS model contributes to economic instability and vulnerability for healthcare systems and providers. The Covid-19 pandemic exposed these vulnerabilities when doctors and hospitals saw volume (and income) fall dramatically within days and took months to recover. Relying primarily on care...
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