ViewPoints Blog

As we look across the healthcare landscape at the end of 2015, two questions rise prominently to the top; (1) how will hospitals offset declining reimbursements and (2) how can hospitals smoothly transition to value-based models?

At iVantage, we’re passionate about rural people and places. Over the past five years we’ve conducted objective analysis of rural hospital performance and confirmed that the Rural Health Safety Net functions well and is worthy of the investment Medicare makes to provide “critical access” points of care to the 60+ million Americans that call rural home (including 23 million seniors).

Over the course of the last two weeks we’ve taken a closer look at how top performing rural providers are tackling Quality and Value Based Purchasing. Today, I’d like to share some thoughts on patient satisfaction – critical in today’s complex and competitive marketplace.

Critical Access Hospitals and the Value Equation

For the last few years, the movement from volume-based payments to payment models tied to value is accelerating. The PPS world has been engaged in Value Based Purchasing (VBP) for the past several years and now we see this model in development for the Critical Access Hospitals (CAHs) as well.

With the onset of the PPACA, a Republican Congress and Senate, and a Presidential election looming, the future of rural healthcare promises more uncertainty. Secretary Burwell’s announcement and further reform proposals to Medicare payments specific to hips and knee cases continues to push from the historic volume-based model.

In May, media stories highlighted the filing of a lawsuit in federal court in Alabama alleging that the 37 Blue Cross and Blue Shield health insurers are functioning as an illegal cartel.

Large hospital operators HCA, Tenet and Community Health Systems recently issued robust earnings, revenues and large declines in uncompensated care costs, a key measure of expenses. These statements from some of the country’s largest for-profit health systems has some in the industry trumpeting the end to hospital bad debt.

As you may have seen, iVantage was an active sponsor and participant at the Rural Medicine Hackathon, held last weekend in Montana. We think it was a unique opportunity to help rural healthcare providers and our clients advance new solutions. But how?