Are Bundled Payments the Future of US Healthcare?

usa todayI spoke recently with a reporter from the USA Today, who ended up writing a nice article on bundled payments in healthcare. I promise to return to this topic on future posts. But for now, let me whet your appetite with a bit of her story:
WASHINGTON — Health and policy experts are pushing for a system that pays doctors a lump sum for medical care or allows them to share in savings, saying it will save millions of dollars over current fee-for-service payments that can lead to fraud and over-use of medications.
In the new system, doctors would not be entitled to extra pay should they prescribe costlier medication.
Earlier this month, Sen. Elizabeth Warren, D-Mass., raised the issue of lump sum – or “bundled” – payment plans at a hearing for the nomination of Sylvia Mathews Burwell to become secretary of Health and Human Services. A bundled payment demonstration project at Bay State Health in Massachusetts saved $2,000 per Medicare patient for things like hip transplants, she said… (Read more at USA Today)
 

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