Scorecard Provides Baseline on Progress Toward Quality Incentives
March 26—Only 10.9 percent of payments to physicians and hospitals in the commercial sector is tied to their performance, according to the first annual National Scorecard on Payment Reform.
The scorecard, from the Catalyst for Payment Reform—an organization comprising large employers, such as GE and Walmart, and unions such as the AFL-CIO—measures progress made by the organization and participating purchasers toward changing the way in which physicians and hospitals are paid. In 2010, the Catalyst for Payment Reform set a goal that by 2020, 20 percent of commercial payments would be value-oriented.
According to the scorecard, the remaining 89.1 percent of payments reported continue to be traditional fee-for-service payments, regardless of necessity or outcome, or in bundled, capitated, or partially capitated payments without quality incentives.
Of the 10.9 percent of value-oriented payments, 43 percent employ financial incentives to support higher-quality care, such as fee-for-service with shared savings. The other 57 percent of payments put providers at financial risk for their performance if they do not meet certain quality and cost goals, such as bundled payments.
Publication Date: Tuesday, March 26, 2013