Behavioral Health Business February 20, 2024
Morgan Gonzales

Fee-for-service reimbursement models have contributed to a fragmented behavioral health industry. Substance use disorder (SUD) providers are set to evolve current reimbursement models to alternative payment systems in 2024.

Alternative payment models, which include risk-bearing, bundled payments and shared savings, offer a brighter future for the industry. But taking on risk and working with payers to develop alternative payment models requires strategizing and careful discussion with payer partners, industry insiders told Behavioral Health Business.

SUD treatment provider Recovery Centers of America (RCA) plans to make substantive progress toward alternative payment models in 2024.

The company plans to transition at least 30% of its arrangements with payers to alternative payment models by the end of the year, according to Peter...

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