Value-based models picked up steam in 2023: 5 numbers to know

The report, published Nov. 14, includes data from 73 health plans, accounting for around 92.8% of those insured in the commercial, Medicare Advantage, Medicaid and traditional Medicare markets. 

Here are five key numbers to know: 

1. In 2023, 38.4% of healthcare dollars were spent in fee-for-service arrangements with no link to quality or value, down from 40.6% in 2022. According to the survey, 28.5% of healthcare dollars were spent in arrangements with downside risk, up from  24.5% in 2022.
2. Medicare Advantage and Medicare had the highest share of payments with downside risk in 2023. In Medicare Advantage, 43% of payments were in models with downside risk in 2023, up from 39.9% in 2022.
3. In traditional Medicare, 33.7% of payments were made in two-sided risk arrangements, up from 30.2% in 2022.
4. The commercial market saw the largest growth in two-sided risk payments from 2022 to 2023. In the commercial market, 21.6% of payments were in two-sided risk models in 2023, up from 16.5% in 2022.
5. In Medicaid, 21.1% of payments were in two-sided risk models in 2023, up from 18.7% in 2022.

Read more here. 

At the Becker's 5th Annual Fall Payer Issues Roundtable, taking place November 2–3 in Chicago, payer executives and healthcare leaders will come together to discuss value-based care, regulatory changes, cost management strategies and innovations shaping the future of payer-provider collaboration. Apply for complimentary registration now.