Large Insurer Will More than Double Value-Based Payment by 2017
July 11—As the healthcare industry transitions toward value-based business models, one large insurance provider has announced it will increase the amount of payment linked to quality and cost-efficiency measures by $30 billion by 2017.
According to a statement released by UnitedHealthcare, more than $20 billion of UnitedHealthcare’s current reimbursements to hospitals, physicians, and ancillary care providers are paid through contracts that link a portion of reimbursement to quality and cost-efficiency measures. The insurer anticipates that this number will increase to $50 billion by 2017 as more care providers participate in accountable care contracts. Currently, UnitedHealthcare has accountable care relationships with more than 575 hospitals, 1,100 medical groups, and 75,000 physicians across the country.
UnitedHealthcare also reports that its shift to performance-based reimbursement is having a positive impact on patient care. According to the company, its accountable care programs have realized a 16 percent reduction in emergency department visits and a 17 percent reduction in inpatient days.
Publication Date: Thursday, July 11, 2013