The RAND Corporation’s study evaluated the first three years of the PROMETHEUS Payment program, a major pilot of bundled payments conducted by the non-profit Health Care Incentives Improvement Institute. The program recruited payors, self-insured employers and healthcare organizations in three communities: Crozer Keystone Health System-Independence Blue Cross in Pennsylvania; Employers’ Coalition on Health in Rockford, Illinois; and Priority Health-Spectrum Health in Michigan.
The three groups had access to technical support from the Health Care Incentives Improvement Institute and were responsible for agreeing on the payment method, engaging healthcare professionals and establishing strategies.
RAND researchers conducted telephone interviews and site visits from 2009-2011 and found, as of May 2011, no bundled payments had been made and no payment contracts for bundled payments have been executed. The lack of progress was principally due to a mix of technical and cultural difficulties, such as deciding what health conditions should be subject to bundled payments and convincing providers that cost-cutting measures will not reduce the quality of medical care.
Related Articles on Bundled Payments:
Bundled Pricing: Strategies for Success
Deadline for CMS’ Bundled Payment Initiative Approaching
The Advantages and Disadvantages of CMS’ Bundled Payment Initiative: 8 Responses
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