Complimentary from the publisher

Complimentary from the publishers of VBP News March 2020

"We’ve got the best treatment; we know that we want to give this treatment. It’s evidence based. But if the patient doesn’t take the medicine, or doesn’t do the treatment, doesn’t go to all their radiation appointments, then what good it is? So having patients educated, having them be part of that process, having access to information, these are very powerful tools that we have to leverage. Having not just provider-facing tools, but patient-facing tools we can leverage to engage patients into the process, that’s going to help a lot with value-based care."
- Dr. Bobby Reddy, Chief Medical Officer, NantHealth.

An advanced payment model in Maryland provided prospective payments to 7 Federally Qualified Health Centers (FQHCs) "based on their patient population size and total historical cost. The FQHCs used their payments primarily for outreach and care coordination resources, and to develop processes and structures to improve care delivery outcomes." After 3 years, an assessment across all 7 FQHCs showed 35% fewer emergency department visits and 11% fewer hospitalizations for Medicaid beneficiaries. The model's "3-year investment of $4.4M yielded a cumulative cost savings of $19.4M, resulting in a cumulative 3:1 return on investment."
Source: "Implementing Value-Based Primary Care Delivery in Federally Qualified Health Centers," Population Health Management, February 24, 2020.

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How to achieve cost savings through post-acute network collaboration

As value-based programs become more prevalent, healthcare leaders are realizing their organization's financial viability is inherently tied to more effective collaboration efforts with post-acute care networks. Discover how a health system achieved risk-based contracting with their post-acute network and reduced readmissions by 52 percent, cut length of stay by 43 percent and achieved a $4M cost savings.

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	DataGen: 5 Reasons Why VBP Might Not Become the Primary Revenue Model in the next 5 years 1. The fee-for-service mindset and model are too deeply entrenched. 2. Clinical staff resistance to value-based payment. 3. The incentives aren't high enough. 4. Many organizations lack the resources and knowledge necessary to take on risk. 5. Healthcare is too volatile to handle the change. Note: A third of respondents in a survey of 102 healthcare executives, commissioned by DataGen and conducted by Sage Growth Partners, did not think value-based payments will replace traditional fee-for-service in the next 5 years. Source: DataGen, "Market Report: The next leap in value-based care"

VBP Collaboration: Cigna and Houston Methodist; Blue Shield of California and Accolade; Jefferson Health and Independence Blue Cross.
Viewpoints: MC-Rx Says ‘Independent PBM Clients Lower Drug Prices by 37% in 1st Year’ by LaMar Williams
50% Believe Use of the Right Analytics and Technology is ‘Most Crucial Element’ in Succeeding in VBC
Industry News with briefs regarding Change Healthcare; Humana.
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