Health care industry observers frequently  ask “is value-based-care finally gaining traction in the industry?” and skeptics will follow with “is value-based care even the right care model to achieve utilization saving goals for a population?” The answer to the first question is undoubtedly, yes. The answer to the second question has been less clear, until now. A new study from the Journal of the American Medical Association (JAMA) is shedding light on the impact that dual-sided risk models (arrangements with both up-side and down-side financial outcomes for providers) can have at achieving the goals of value-based care.

One indicator of the broader acceptance of value-based care is the amount of funding flowing into innovative digital health and value-based care organizations by investors. For example, a Deloitte studyof Rock Health’s database revealed that the  amount of funding for healthcare technology companies increased from $7 billion in 2019 to $14 billion in 2020. Another is  the ever-growing enrollment of members in value-based care programs nationally, understanding that payers and employers are placing greater reliance on this approach.

Just examining the enrollment and penetration of Medicare Advantage (MA), the most well-known and deeply studied version of value-based care models, indicates a terrific level of adoption nationally. A recent report from the Kaiser Family Foundation shows that enrollment of MA continues to grow, not just with government program recipients but also including those enrolled in employer sponsored plans.

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