scholarly journals The Impact of Medicare's Alternative Payment Models on the Value of Care

2020 ◽  
Vol 41 (1) ◽  
pp. 551-565
Author(s):  
Joshua M. Liao ◽  
Amol S. Navathe ◽  
Rachel M. Werner

Over the past decade, the Centers for Medicare and Medicaid Services (CMS) have led the nationwide shift toward value-based payment. A major strategy for achieving this goal has been to implement alternative payment models (APMs) that encourage high-value care by holding providers financially accountable for both the quality and the costs of care. In particular, the CMS has implemented and scaled up two types of APMs: population-based models that emphasize accountability for overall quality and costs for defined patient populations, and episode-based payment models that emphasize accountability for quality and costs for discrete care. Both APM types have been associated with modest reductions in Medicare spending without apparent compromises in quality. However, concerns about the unintended consequences of these APMs remain, and more work is needed in several important areas. Nonetheless, both APM types represent steps to build on along the path toward a higher-value national health care system.

2020 ◽  
Vol 79 (Suppl 1) ◽  
pp. 513.1-514
Author(s):  
D. F. Aranda ◽  
T. Benincasa ◽  
C. Romero-Sánchez ◽  
L. Chila ◽  
W. Bautista-Molano

Background:Rheumatoid arthritis (RA) is a disease associated with a high and increasing direct cost to the health-care resources. It is estimated that about 250,000 persons may have RA in Colombia. The characteristic joint damage and disability associated to RA increase slowly over many years (10–20 years).Objectives:To assess the development of RA in Colombian-population over the next five-years and to estimate the impact of a strategy to reduce direct-costs on the national health-care system.Methods:We use a population-based approach of epidemiological type to analyze the development of the disease over time. We design a continuous mathematical model for the transmission and evolution of RA in a population. The description of a biological phenomenon (disease), by differential equations is called mathematical modeling and allows us not only to study and analyze the dynamics of the disease, but also to predict its future development. The system is formed by eight ordinary differential-equations, explaining the influence of the epidemiological parameters considered in the evolution of RA. This mathematical modeling-approach has been extensively used to study the dynamical behavior of diseases in populations from an epidemiological point of view. The parameters of the mathematical-model are estimated using real-data from RA-prevalence. Total population was divided into eight groups as follows: general population, prevalent (at risk), pre-clinical (asymptomatic), symptomatic (tender/swollen joints), diagnosed without treatment (fulfilling classification-criteria), starting early treatment (before two years of symptoms), starting late treatment (after two years of symptoms), and chronic RA patients (disease duration more than 2 years). Numerical simulations allow to explain the RA-epidemiology and predict the disease over the next five-years.Results:In the next five-years there will be 129,000 new RA-patients in Colombia, with an estimated cost on the national health-care system of about $4125 million (USD). The analysis of the proposed mathematical model allows us to recommend an action-strategy to optimize and reduce direct-costs. The strategy is related to the implementation of the optimal clinical-diagnosis of RA and starting timely-treatment of patients with the most effective approaches available. Applying this strategy would allow the health-care system to reduce about 20% of its direct costs over the next five-years, reducing costs from $4125 million to $3337 million with estimated savings of $789 million. Figure 1Figure 1Comparison of direct-costs associated to rheumatoid arthritis over timeConclusion:We investigated the development of RA over the next five-years and were able to predict the number of new patients. The impact of the implementation of a strategy based on optimal-diagnosis and timely-treatment may reduce about 20% of its direct costs over the next five-years.Disclosure of Interests:None declared


2020 ◽  
pp. 53-59
Author(s):  
Inna Irynchyna

Introduction. The formation of a modern model of development of the national health care system presupposes the existence of economically efficient and financially viable medical institutions. The collaboration of economics and medicine is designed to facilitate the transformation of existing hospitals into medically and economically efficient actors in the national health care market in the face of global threats to human health and budget deficits. Methods and tools of economic analysis should be the basis for the formation of a model of profitable medical business. Goal. Substantiation of the algorithm for the formation of cost-effective medical business entities based on economic analysis in terms of reforming the national health care system. Method (methodology). Methods of analysis and synthesis, induction and deduction are used in determining current trends and problems of development of a new format of self-financing of medical institutions in the formation of the national health economy and the formation of an algorithm for profitable medical institutions. Results. It is proposed to apply the criteria for evaluating decisions to achieve financial and economic efficiency of medical institutions: effectiveness - medical efficiency; cost effectiveness - economic efficiency; necessity - necessity; feasibility probability of realization / feasibility. Factors of potential success of medical business and investment attractiveness are singled out. A model of calculating the potential profitability of a medical institution according to the ratio of available resources (value of medical services and medical technologies) and the time required to implement the updated idea (mission) of the medical business is proposed. An algorithm for forming a medical business or improving the existing format of a medical institution in the conditions of the national health economy has been built on the basis of methods and tools of economic analysis.


2021 ◽  
Vol Publish Ahead of Print ◽  
Author(s):  
Labella Barbara ◽  
De Blasi Roberta ◽  
Raho Vanda ◽  
Tozzi Quinto ◽  
Caracci Giovanni ◽  
...  

Sign in / Sign up

Export Citation Format

Share Document