Open Minds’ Monica Oss says value-based reimbursement models offer provider organizations both near- and long-term opportunities.
One example Oss describes in her write up is a partnership between Pennsylvania-based health system Geisinger Medacta International, a vendor for hip replacement devices. A pilot program launched by the team this year will offer members who use Medacta’s device for a hip replacement delivered by Geisinger will have access to free surgical revisions, including the device and all hospital expenses.
The value-based reimbursement strategy, however, is a slow-moving transition, Oss writes.
“There is also a growing trend to utilize value-based contracting for medications,” Oss writes. “For example, Harvard Pilgrim health plan has twelve different outcomes-based contracts in place for medications. In one, Harvard Pilgrim pays Eli Lilly a lower price for its Type 2 diabetes drug Trulicity if patients do better on competing diabetes drugs.”
To read Oss’s full article on Open Minds, click here.
