5 Michigan health organizations get first value-based payouts totaling $25M

Five Michigan health organizations that signed innovative, value-based reimbursement contracts with Detroit-based Blue Cross Blue Shield of Michigan years ago have received their first payouts totaling $25 million, according to a Crain’s Detroit Business report.

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The five organizations — St. John Providence Health System in Warren, Trinity Health in Livonia, Beaumont Health System in Royal Oak, MidMichigan Health in Midland and Botsford Hospital in Farmington Hills — signed contracts with BCBS of Michigan in 2011 and 2012.

For 2013, the hospitals shared $50 million in savings with BCBS of Michigan, and Blue Cross Vice President Steve Anderson told Crain’s the results “came in better than projections.”

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