AXIOS November 21, 2022
Erin Brodwin

The “shift to value-based care” was on everyone’s lips at HLTH — but more than a decade after it began, ingrained provider dynamics and unequal market-wielding power continue to slow the fee-for-value train, Axios reports.

Why it matters: The current fee-for-service system is essentially the opposite of the “apple a day” philosophy: It rewards high-cost and high-volume procedures and disincentivizes preventive care.

Yes, and: A looming recession, skyrocketing costs of health care and a tight market are encouraging companies to dip their toes into value-based payments (VBP) models.

Yes, but: Despite renewed exuberance among executives about value-based payments at HLTH, the reality is less sunny.

By the numbers: Value-based payments made up just 6.7% of primary care revenue in 2021,...

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Oliver Wyman

Topics: CMS, Govt Agencies, Insurance, Medicare Advantage, Payment Models, Provider, Value Based
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