Series Preview: Everything You Need to Know About Value-Based Payment Models to Prepare for 2022 with Gail Zahtz
Gail Zahtz did a five part series with HCBiz on Value Based Care. This is the preview of the series.
What is going on with Value-based payment models in healthcare? We’ve been talking about it for years and despite all the chatter and investment, uptake has been slow. Now, the CMS Innovation Center (CMMI) has put many of its models on hold including the Direct Contracting Geo model that we covered earlier this year. Does this mean we are moving away from value-based payment models? Absolutely not! In fact, things are going to start moving much more quickly towards value in 2022.
A Nearly Universal Commitment to Value-based Payment
Let’s start with CMMI. Director Liz Fowler has been consistent in her messaging in the past six months and I would summarize her position as follows:
We’ve made great progress in moving towards value-based payment.
We’ve hit a bit of a lull.
The main reason for that lull is that “it’s a bit too comfortable to sit in Fee For Service”.
She wants to break us out of the lull.
Mandatory models may be necessary to do that.
So, I’m hearing that we should expect mandatory models that make Fee For Service very uncomfortable. That’s a big deal and more than a signal from CMS.
Beyond CMMI, belief in value-based payment has been consistent across the past 3 presidential administrations, is popular in Congress, and is being driven forward by employers with self-funded health insurance plans. Everybody wants to see this happen and the pieces are in place for a major push in 2022.
The #HCBiz Show is partnering with Value-based payment expert, Gail Zahtz to bring you a 5-episode series that will get you ready for 2022. Here’s what you can expect:
Link: Episode 1: Health Equity is Population Health
Gail Zahtz summed it up this way: “The current value-based contracting has failed to realize the promise of health equity. That’s not going to occur moving forward.” If anything is clear, it’s that health equity is a priority heading into 2022. We’ll help you prioritize your efforts.
Link: Episode 2: Are we crying wolf?
We address listener feedback that we’ve been hearing about the move to value for 10 years. We’ve invested in it through several evolutions and it still hasn’t come to fruition. The key is to rebuild trust between the government and those delivering the care- whether hospitals, payers, providers, or innovators. Otherwise, they won’t trust enough to take action.
Link: Episode 3: Doctors Just Took a Pay Cut
Gail explains what doctors can expect in terms of Medicare FFS payment come January 1, 2022. We discuss this as another example of CMS trying to make Fee-for-Service less “comfy” and expedite the move to value-based payment models. Gail helps us to understand what options exist and we lay out a framework for how to evaluate those options.
Link: Episode 4: The No Surprises Act is Full of Surprises
The No Surprises Act intends to prevent patients from getting burned with huge, unexpected bills for medical services. Implementation (and reality) will bring new surprises.
