Healthcare Payment Reform
Thursday, July 24th, 2008 In many ways, the nation’s current healthcare payment system creates inefficiencies by adding cost and complexity to healthcare administration. Achieving payment system reforms will require a level of cooperation among all stakeholders.
In the current volume-based payment system physicians and others who provide high-quality, efficient care and thereby reduce the volume of patient services, receive reduced payment. The payment system encourages competition among healthcare providers for high-margin services, leading to increased fragmentation and, in some cases, an overuse of those services.
Principles of a New Payment System
1. Payments should encourage and reward high-quality and efficient care.
2. Payments should align incentives among all stakeholders to maximize the efficiency.
3. Payment systems should balance the needs and concerns of all stakeholders.
4. Payment processes should be simplified, standard, and transparent.
Only by operating within a shared framework of principles and goals will meaningful change be possible.
Leave a reply
You must be logged in to post a comment.
