Value-Based Care: The Future of Health Care
Transcript - Value-Based Care: The Future of Health Care
Understanding the move away from fee-for-service
American health care has for a long time rewarded sickness and not health, so the more care you deliver, the more tests you offer, the more admissions to the hospital you have, the more you get paid.
And that’s a system that incentivizes more care rather than quality of care.
Now, in this new world where you can say, “Let’s work together on value and if we can create value, ah, by lowering cost that creates additional funds that can be used for other things that we think are important.
Why should organizations be moving to value-based care?
There was a strong reason to improve our health care system and try to better align incentives so that providers aren’t encouraged to do more; they’re encouraged to do the best that they can, with the best outcome for the patient.
You know, it’s really about delivering the right care at the right time and the right place in the right amount in the right way at the right price and then be able to prove it.
And so what we can demonstrate to the employers that one we can help them begin to control their costs through their benefit design as well as to demonstrate our outcomes and be transparent around the quality and the safety and the improvement that they’re seeing in the health and wellness of their employees.
This is where the country is going. This is not managed care in the traditional way. This is not traditional health maintenance organization where people felt restricted in their care. This is using the best science available with complete options through lots of options in – in the variety of the provider system and the capabilities of the provider system to be able to serve a large population of people completely, thoroughly, and well – at less cost to everybody.
Working together for better patient care
ACOs will work, but they’re not easy. They will require organizations to work together that for many, many years they either competed with one another or they were in win-lose relationships.
You have to have a level of trust and understanding of strategic direction on the part of both organizations. If you have that, common goals and common reward systems, then the ACO will work without question.
In the old world somebody won and somebody lost. In this one, there really is an opportunity for everybody to win – the patient, the employer, the payer and provider.