Health Affairs October 3, 2016
In recent years, large employers, physician groups, and commercial and governmental payers have been increasingly interested in the use of episode-based bundled payments as a mechanism to promote high-quality health care and smarter spending. A “bundled payment” occurs when a payer provides reimbursement to providers for a full range of care, rather than paying individual bills for parts of that care such as the surgery, physician fees, and post-acute care.
The Comprehensive Care for Joint Replacement model and the recently announced acute myocardial infarction and coronary artery bypass graft bundled payment programs are examples of Medicare’s belief that alternative payment models are necessary to shift the current health care system from one that pays for volume to one that is...
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