Study: Penetration of Value-Based Payment Models Not Sufficient to Realize Potential Cost Savings
Value-based payment (VBP) models are an effort to rein in the growth of health care costs and improve quality. However, it’s unclear what overall impact value-based payment (VBP) models are having on health care costs. Even though health care is provided at the local level, most evaluations examine health care spending at the national level. To address this disconnect, and in conjunction with HFMA and McManis consulting, with funding by the Commonwealth Fund, we conducted quantitative and qualitative market-level assessments. Our goals were to examine the impact of population-based value-based care within a market, identify what measurable factors were associated with differing costs, and understand how business leaders are thinking about value-based care and cost reduction. Our findings are included in the below reports.