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Value-based care

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Note from the editor

The U.S. healthcare industry has been slowly transitioning to paying for value instead of volume over the past decade. Many private payers and providers have championed the move, even introducing their own alternative payment programs, while some have held off on adopting value-based models, preferring instead lucrative, costly fee-for-service.

Roughly one in five payments is tied to some sort of quality model, and that's only projected to increase. But leaders on the value-based frontier worry the coronavirus pandemic could delay this sea change as providers, facing shrinking margins and an influx of COVID-19 patients, look for ways to recoup revenue in the short-term.

Doctors in value-based arrangements like accountable care organizations assume financial risk — a scary proposition given the uncertainty of the times. But as medical costs continue to skyrocket, some hope the pandemic will nudge providers to adopt value-based care as they look to diversify revenue streams, bringing the movement back on track.

Rebecca Pifer Reporter

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The evolution of value-based care

The U.S. healthcare industry has been slowly transitioning to paying for value instead of volume over the past decade. As medical costs continue to skyrocket, the question is whether the pandemic will be the final push for providers to adopt value-based care.

included in this trendline
  • Could coronavirus derail the decades-long shift to value-based care?
  • BCBS of Michigan cuts new value payment deal with 7 major systems
  • Pandemic prompts CMS to drop some reporting requirements for value-based initiatives
Our Trendlines go deep on the biggest trends. These special reports, produced by our team of award-winning journalists, help business leaders understand how their industries are changing.
Davide Savenije Editor-in-Chief at Industry Dive.