Payment Matters

As health care costs continue to affect employers’ bottom lines, growing evidence that payment reform strategies can help control costs is spurring employer purchasers to switch from the inefficient fee-for-service model of paying for care, which encourages high volume and rewards poor quality, to payment models that reward high-value care.

To help purchasers get started on this important work, the Robert Wood Johnson Foundation examines employers’ pilot programs testing four approaches to payment reform, including population-based payment, patient-centered medical homes, high-intensity primary care, and bundled payment. The briefs explain the differences between these strategies, share results and lessons learned from employers pioneering these projects, and offer tips for employers looking to reward high-quality health care and make more efficient use of health care dollars.