Managed Healthcare Executive November 6, 2017
Healthcare expenditures are already at nearly $10,000 per person annually, accounting for 17.8% of the Gross Domestic Product, according to CMS. Costs are projected to grow another 1.2 percentage points each year, ballooning to 19.9% of the GDP by 2025.
It’s now clearer than ever that something’s got to give. The solution, however is less clear. Many in the industry point to value-based reimbursement models, which tie payment to quality of care. These include payer programs that reward hospitals for decreased readmissions and reduce payments for hospital-acquired infections or injuries. Other more formal arrangements include bundled payments and accountable care organizations (ACOs).
While these types of programs have been in place for several years, it can be difficult to gauge...
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