Value-based purchasing (VBP) is the underlying principle behind the creation of appropriate incentives that encourage all healthcare providers to deliver higher quality care at lower total costs.
The cornerstones of VBP are consensus-based clinical measures, effective resource utilization and measurement, and the payment system redesign mentioned above. The overarching goal is to foster joint clinical and financial accountability in the healthcare system.
In its Roadmap for Implementing Value Driven Healthcare in the Traditional Medicare Fee-for-Service Program, the Centers for Medicare and Medicaid Services outlines a three-to-five year timeline for restructuring the major Medicare fee-for-service (FFS) payment systems utilizing the principles of VBP.
Look for the CMS Roadmap document in the group forum. What other emerging terms would you like defined? Drop us an email or comment below!