Value-Based Reimbursement: The New Norm For Health Care?

Law360, New York (March 17, 2016, 1:01 PM EDT) -- The buzz-phrases are out in force. "Value-based reimbursement." "Pay for quality." "Performance-driven incentives." Whatever the cocktail party term of choice, these words all describe a growing trend in health care payment: payors are less likely to pay providers based on each individual service that they provide, and more likely to pay in a way that incentivizes providers to save costs and generate desired outcomes.

Today's Value-Based Reimbursement Spectrum

The manifestations of this concept, what we'll call value-based reimbursement (VBR), span a broad spectrum that ranges from barely tinkering with the predominant fee-for-service model to completely up-ending the traditional payor-provider paradigm. Below...

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