What is one of the goals of changing to outcomes-based payment models?

One of the primary goals of transitioning to outcomes-based payment models is to align incentives between health plans and providers. This alignment is crucial because it encourages both parties to focus on delivering high-quality care and achieving better health outcomes for patients rather than simply increasing the volume of services provided. In an outcomes-based framework, providers are rewarded for the value of care they deliver, emphasizing the significance of effective and efficient healthcare delivery.

By aligning incentives, both health plans and providers can collaborate more effectively in managing patient care, which can lead to improved care coordination, reduced costs, and enhanced patient satisfaction. This approach contrasts with traditional fee-for-service models, where payments are made based on the quantity of services rendered, which may not necessarily correlate with improved patient outcomes.