BCBS of Massachusetts' alternative payment model helped narrow health disparities

A payment model aimed at improving quality of care for Blue Cross Blue Shield of Massachusetts policyholders showed the greatest gain in extending care to members from lower socioeconomic backgrounds, according to a study published in Health Affairs.

Researchers at Harvard Medical School in Boston analyzed the effects of BCBS of Massachusetts' Alternative Quality Contract. Study authors compared changes in clinical quality, health outcomes and total spending among members with lower and higher socioeconomic status prior to and after their physicians joined the alternative payment model. The contract, launched in 2009, puts onus on value-based care over a traditional fee-for-service model.

While healthcare spending among policyholders with lower and higher socioeconomic status was similar, researchers concluded quality improvements were comparatively higher for members with lower socioeconomic status.    

"Quality improved across the board for members in the AQC, but we noticed a larger improvement for members from lower socioeconomic backgrounds," said co-author Zirui Song, MD. "This is encouraging because it suggests that payment models like the AQC, which offers significant rewards for performance on quality, outcomes and cost, could motivate providers to focus on improving care for disadvantaged populations."     

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