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How Value-Based Purchasing Program Design Influences Outcomes

How Value-Based Purchasing Program Design Influences Outcomes

June 20, 2023Victoria BaileyHealthPayerIntelligenceHealth Plans & Payers

Payers should consider program design intensity when implementing value-based purchasing contracts, as higher-intensity programs can lead to better care quality and greater spending reductions, a systematic review published in Health Affairs found.

Value-based purchasing programs can incorporate both financial and non-financial features. Financial aspects include bonuses, penalties, and financial risk-sharing arrangements.

Non-financial aspects aim to help providers respond to the spending and quality incentives in a VBP program. These include analyzed data, reports, or lists; technical assistance through leadership or change management training, infrastructure payments to add more staff; raw claims data; risk-management support; and care management support.

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