We are quickly heading to the value-based purchasing tipping point, according to the Vice President of Network Management at Health Partners Plans in Pennsylvania.
“While adoption rates are still relatively low in some regions of the country, almost all health plans and providers are doing work in this space and the percentage of spending in the value-based care space will continue to increase,” seasoned commercial and government health insurance plan executive Brian Donovan recently told RevCycleIntelligence.com.
“I can see it approaching maybe 50 percent for most health plans within the next five years if we consider their entire book of business.”
The transition away from fee-for-service has been a long journey. While some health systems and plans have been engaging in types of value-based contracts for decades, the Affordable Care Act (ACA) really got the ball rolling for most providers through programs like the Medicare Shared Savings Program and hospital pay-for-performance initiatives.