Medicare's stated goal of transitioning half of payments to value-based care models by 2018 is well on its way, according to a report from The Hill, driven by quality reporting and transparency at the national level.
Here are five things to know:
1. Last year, HHS Secretary Sylvia Mathews Burwell announced 30 percent of all Medicare payments would be value-based by the end of 2016. At the time, 20 percent were based on value.
2. Hospitals and healthcare providers now report quality benchmarks and post their scores online, encouraging innovation in patient care and outcomes. Medicare is also transitioning certain providers and procedures into new payment models based on value. For example, healthcare providers in 67 regions of the country will participate in the Comprehensive Care for Joint Replacement model aimed at increasing the quality and lowering the cost of inpatient hip and knee arthroplasty surgeries.
3. The new payment models are designed to encourage collaboration between providers and innovate to prevent rehospitalizations and complications.
4. There will be challenges for CMS reaching their initial goal; the GOP-led Congress is skeptical of Obama's healthcare agenda and 2016 is an election year.
5. During the Obama administration's healthcare reform, CMS set value-based payment targets. Now CEO of the National Health Council Marc Boutin says they are asking patients what is valuable to them.