As healthcare shifts from fee-for-service to value-based care, hospitals must prepare for a future where revenue is tied to quality and cost, rather than the number of services provided.
For half a decade, healthcare services have increasingly shifted away from fee-for-service to value-based care.
In this model, healthcare providers are incentivized to provide the highest quality care at the lowest possible cost. This is in contrast to the fee-for-service model, where providers are paid in proportion to the number of services performed.
Mentions of value-based care on earnings call began to rise in 2016, and the topic has since remained popular.
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