Low-Value Care Spending Slows as Medicare Pushes Value-Based Care

Low-value care spending among fee-for-service Medicare recipients dropped slightly from 2014 to 2018. However, two of the three services that make up the majority of low-value healthcare spending, antibiotic and opioid prescriptions, increased despite a national campaign to promote value-based care, according to a new RAND Corporation study.

The researchers analyzed healthcare data of more than 21 million patients enrolled in traditional fee-for-service Medicare from 2014 to 2018, ultimately finding that the percentage of participants receiving low-value care decreased by 3 percent, or from 36.3 percent in 2014 to 33.6 percent in 2018.

“Our study highlights several promising opportunities for targeted interventions that may reduce wasteful health care spending while improving the quality of care,” John N. Mafi, the study’s lead author and an adjunct physician policy researcher at RAND, said in a statement.

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