Population health still at odds with fee-for-service

April 6, 2021Garrett SchmittNo CommentsFee for service, FFS, SNFs

Year after year, surveys show the same thing: Healthcare providers’ evolution toward accepting risk to keep patients healthy—widely viewed as the holy grail of lowering healthcare costs—has been painfully slow. So long as that’s the case, experts say the financial returns providers can expect to draw from population health management, where they gather patient data…

A Roadmap for Value-Based Payment in 2030

March 13, 2021Garrett SchmittNo CommentsCMMI, FFS, MIPS

Researchers at the University of Pennsylvania recently published a white paper that proposes a roadmap  for value-based care over the next decade. On March 12, the co-authors gathered virtually to discuss lessons learned over the last decade and their five key recommendations, which include aligning alternative payment models (APMs) across all publicly financed healthcare and giving health equity a…

Next Generation ACOs Saved Medicare $558M in 2019

January 14, 2021Garrett SchmittNo CommentsFFS, NAACOS

Accountable care organizations (ACOs) taking on the greatest financial risk in Medicare through the Next Generation ACO Model saved the public payer over $558 million in 2019, according to partial data from CMS. CMS released the data yesterday on 37 of the 41 Next Generation ACOs participating in 2019. The data excluded savings and quality data from…

ACOs Fear Direct Contracting Options Stray Too Far From Providers

December 23, 2020Garrett SchmittNo CommentsFFS, NAACOS

Value-based providers, like accountable care organizations (ACOs), may be at a disadvantage under new direct contracting options in Medicare that allow for a broad range of healthcare organizations to participate, according to the National Association of ACOs (NAACOS). In a letter to CMS Innovation Center Director Brad Smith, the industry group called for changes to both the…

Medicare ACOs raise concerns about proposed quality reporting changes

August 7, 2020Garrett SchmittNo CommentsFFS, MIPS, NAACOS

CMS is proposing to change quality reporting standards in the Medicare Shared Savings Program and accountable care organizations are pushing back. In the 2021 proposed physician fee schedule rule released Aug. 3, CMS proposed three main changes related to quality: a new mechanism for ACOs to report quality measures, a reduction in the Medicare Shared Savings Program’s…

Family doctor, employer groups join forces to replace fee-for-service

July 15, 2020Garrett SchmittNo CommentsFee for service, FFS, medical advantage, Primary Care

A national primary-care physician association and an employer group have teamed up to develop a care model that aims to shift away from fee-for-service reimbursement. The American Academy of Family Physicians and National Alliance of Healthcare Purchaser Coalitions plan to leverage regional employer coalitions and physician networks to form a national primary-care model based on…

Can PCPs Survive COVID-19? Only If Fee-for-Service Goes

May 21, 2020Garrett SchmittNo CommentsFee for service, FFS

Primary care practices need new ways of being paid if they are going to survive and thrive in the wake of the COVID-19 pandemic, several speakers said Wednesday during a webinar hosted by the Alliance for Health Policy. “Fee-for-service is simply not a system this is conducive or amendable to primary care being able to thrive…

Could coronavirus derail the decades-long shift to value-based care?

April 15, 2020Garrett SchmittNo CommentsFee for service, FFS

As the coronavirus sickens tens of thousands of Americans while pressuring the bottom lines of medical providers, analysts worry the pandemic could also hit pause on the decades-long march toward value-based care, as hospitals and doctors look to recoup revenue in the short-term instead of putting more dollars at risk. Massive health systems and independent physician offices alike…

90% of Value-Based Payments in Commercial Sector Based on FFS

December 6, 2019Garrett SchmittNo CommentsFFS, Value based contracts

The proportion of value-based payments from the commercial sector to physicians and hospitals increased from 10.9 percent in 2012 to 53.0 percent in 2017. However, an overwhelming majority of those alternative payments were built on a fee-for-service foundation. Those were the findings captured in the latest National Scorecard on Payment Reform, released in December 2019 by…

New Marketplace Survey: Transitioning Payment Models: Fee-for-Service to Value-Based Care

November 8, 2018Garrett SchmittNo CommentsFee for service, FFS

In a survey of the NEJM Catalyst Insights Council in July 2018, sponsored by Optum, 42% of respondents say they think value-based reimbursement models will be the primary revenue model for U.S. health care. Indeed, this transition is already happening. Respondents report that a quarter of reimbursement at their organizations is based on value, on…

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