Do Alternative Payment Models Overcome Fee-for-Service Flaws?

RevCycle Intelligence October 3, 2017
Jacqueline Belliveau

With alternative payment models falling short of improving fee-for-service, a patient-centered payment system is needed, an industry expert suggested.

While alternative payment models, such as pay-for-performance, shared savings and risk, and bundled payments, were designed to improve the flawed fee-for-service system, the models are not addressing volume-based payment issues, according to a recent report from the Center for Healthcare Quality and Payment Reform (CHQPR).

The organization’s President and CEO, Harold Miller, explained that healthcare payment reform efforts have either completely missed the mark or only partially addressed fee-for-service payment system flaws, including:

• No assurance that healthcare services delivered are appropriate, high-quality, and achieve improved patient outcomes

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