Saturday, March 8, 2008

Virtual Bundling to Penalize Health Care Wasters

Virtual bundling to reduce payments to wasteful hospitals and physicians is likely to be coming soon from CMS.

It's a payment penalty. It's going to spank those that are inefficient and wasteful, thus depleting our precious health care resources.

I like it.

Even more, I like the concept of redistributing some of these funds to reward those with more responsible resource utilization, but only if this is not the sole variable (e.g., outcomes must also be considered if we want to ultimately reward on value).

I'm not quite sure what the "virtual bundling" concept will look like in practice, however.

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