The healthcare system in the U.S. is significantly changing the way healthcare is delivered and reimbursed. The shift is towards a value-based care model from a fee-for-service model. This is great news for the health of our country.
What is Value-Based Care
Value-based healthcare incentivizes healthcare providers to focus on the quality of services rendered, as opposed to the quantity. With a value-based healthcare system, healthcare providers including hospitals and physicians, are reimbursed based upon their patient's health outcomes. Doctors who participate in value-based care are rewarded for their patient's healthier outcomes, reducing the chronic disease burden, and helping their patients live healthier lives through evidence-based medicine.
Value-Based Health Care Benefits
The changes being implemented will benefit not only patients but the providers, payers, suppliers, and society.
Patients - Lower costs and better outcomes
Providers - Higher patient satisfaction rates and improved care efficiencies
Payers - Stronger costs controls and reduced risks
Suppliers - C0sts align with patient outcomes
Society - Better overall health and reduced healthcare spending
How will Value-Based Care Help The Patient
Patients achieve better health while spending less money doing so. Managing a serious or life-threatening disease or condition such as cancer, diabetes, high blood pressure, COPD, or obesity can be costly and time-consuming for patients. Value-based healthcare focuses on helping patients recover from illnesses and injuries more quickly and avoid developing chronic disease. As a result, patients require fewer doctor’s visits, medical tests, and procedures, and they spend less money on prescription medication as both near- and long-term health improve.
Why is Value-Based Care Needed
Health care spending continues to be far higher in the U.S. than in other high-income countries. The U.S. spent 17.8% of it's GDP (gross domestic product) on health care in 2021. That's twice as much as the next closest country, Germany, and four times higher than S. Korea. Health spending per person in the U.S. was nearly two times higher than in the closest country. Yet the U.S. is the only high-income country that doesn't offer universal health coverage or guarantee health coverage.
As of 2020, the U.S. has:
- the lowest life expectancy at birth, being only 77 years if born in 2020, three years lower than other high-income countries.
- the highest death rates for avoidable or treatable conditions of all other comparable countries.
- the highest maternal and infant mortality. There are nearly 24 maternal deaths for every 100,000 live births in the U.S., over three times the rate in most other high-income countries. The infant mortality rate in the U.S. was 5.4 deaths per 1,000 live births, the highest rate of all the countries studied.
- one of the highest suicide rates.
- the highest rate of people with multiple chronic conditions.
- the highest obesity rate, nearly twice the average of other comparable countries.
Americans see physicians far less often than people in most other countries even though they are spending the highest amount for their healthcare of any other country. The U.S. has among the lowest rate of practicing physicians and hospital beds per 1,000 population. As well, The average length of a hospital stay in the U.S. for all inpatient care is only 4.8 days, far lower than the average.
Golden Sunrise's innovations and technology lead the way in promoting Value-based care solutions
From November 24, 2009 through August 08, 2015, Huu S. TIEU and Golden Sunrise seeing the benefit to the patient with serious illness, requested that the FDA petition the United States Congress to pass legislation that would designate the Serious or Life-threatening conditions or diseases as an indication that doctors could use for their patients without the continuous need for the Institutional Review Board or Advisory Committee oversight and a restriction of five days for treatment.
Huu S. TIEU, seeing that the patient was not being fairly allowed new therapeutic treatments available to them, requested the FDA petition the United States Congress to make a law and regulation that would allow Serious or Life-threatening conditions or diseases to become an indication so that the doctor could treat a patient more readily and provide the patient all treatments available to benefit a serious illness situation.
The United States Congress finished and established the new law called the 21st Century Cures Act and it was signed by President Barrack H. Obama on December 13, 2016.
Learn more here: Huu S. TIEU Request for FDA to Establish Regenerating Human Cells as Law on December 13, 2016 President Barack H. Obama Signed the 21st Century CURES Act into FDA Regulation and Law. Scientific Research, Open Journal of Regenerative Medicine > Vol.11 No.3, September 2022.
References
1. What Is Value-Based Healthcare?. catalyst.nejm.org. https://catalyst.nejm.org/doi/full/10.1056/CAT.17.0558. Published 2020. Accessed October 30, 2020.
2. What is Value-Based Healthcare? A Comprehensive Guide. Veradigm. https://veradigm.com/what-is-value-based-healthcare
3. What Is Value-Based Healthcare? NEJM Catalyst. https://catalyst.nejm.org/doi/full/10.1056/CAT.17.0558. Published January 1, 2017
4. U.S. Health Care from a Global Perspective, 2022: Accelerating Spending, Worsening Outcomes. Common Wealth Fund. https://www.commonwealthfund.org/publications/issue-briefs/2023/jan/us-health-care-global-perspective-2022#:~:text=Despite%20high%20U.S.%20spending%2C%20Americans,dropped%20even%20further%20in%202021.Published January 31, 2023