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    Home»Health Resources»Putting the ‘value’ in value-based payments – The Health Care Blog
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    Putting the ‘value’ in value-based payments – The Health Care Blog

    IntellandBBy IntellandBFebruary 24, 2024No Comments4 Mins Read
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    By JOSH SEIDMAN

    Like Matthew Holt, I’ve additionally been ranting about the truth that “We’re spending way too much money on stuff that is the wrong thing.” As Matthew stated, “it’s a rant, however a rant with some extent!” And that’s so much higher than most rants today. Along with having some extent, I’m additionally bringing lots of knowledge to my rant.

    Extra particularly, we’ve recognized for a very long time that scientific care solely drives 20% (possibly much less) of well being outcomes, but we proceed to spend an increasing number of on it.

    We do this regardless of the well-documented incontrovertible fact that the U.S. performs worse than most OECD nations regardless of spending way more. I bear in mind, in my first well being care job in 1990, being blown away that the U.S. spent $719 billion on well being care (or $1.395 trillion in 2022 {dollars}). Right here we’re, trillions of {dollars} later ($4.465 trillion) doing the identical factor and anticipating a special outcome.

    After greater than 30 years in well being CARE, I made a decision that I actually wished to start out doing one thing about HEALTH, which is why 3 years in the past I joined Fountain House, the founding father of the clubhouse movement, a psychosocial rehabilitation mannequin for folks with critical psychological sickness (SMI)—a mannequin now replicated by 200 U.S. clubhouses and one other 100+ in additional than 30 nations all over the world. It was really folks residing with SMI that launched Fountain Home in 1948, realizing way back that addressing social drivers of well being supplied a brand new street to restoration and rehabilitation. Now 75 years later, we’re lastly seeing some components of the well being care system come to phrases with the need of addressing health-related social wants.

    With a long time of evidence behind us, Fountain Home has spent the final 12 months and a half building an economic model to know clubhouses’ societal financial affect when one takes into consideration a variety of prices—psychological well being, bodily well being, incapacity, felony justice, and productiveness or misplaced wages.

    The online affect for the common individual served by clubhouses is greater than $11,000 per 12 months—and twice that quantity for somebody with schizophrenia. (We additionally know that clubhouses have a huge effect on high quality of life, company, vanity, and plenty of different vital elements related to restoration and rehabilitation—which is personally way more vital to me, simply not the topic of my present rant.)

    The medical prices alone are dramatic and, apparently, it’s a reasonably even steadiness between psychological and bodily prices. Importantly, for the common clubhouse member, the social prices outweigh the medical price advantages.

    U.S. clubhouses presently serve roughly 60,000 folks. That’s a tiny fraction of the greater than 15 million folks within the U.S. residing with SMI. If we may even help 5% of them with clubhouses, an extrapolation of our mannequin suggests that will generate greater than $8.5 billion per 12 months in financial savings to the general public, to not point out dramatically altering the life trajectories for thus many individuals.

    The broader level right here is that we don’t must make the alternatives we do from a societal perspective. In the event you examine the U.S. to different developed nations, you discover an entire flip in emphasis on social help versus scientific care.

    Provided that it’s unlikely that we’re going to all of a sudden dramatically shift the steadiness of assets within the U.S., we have to discover new methods to encourage a larger emphasis on addressing health-related social wants. As we push towards new value-based cost fashions, we have to discover methods to reward efficiency for attaining social outcomes (e.g., employment ranges, academic attainment, housing stability) in addition to the patient-reported outcomes (e.g., high quality of life, loneliness discount) that we all know contribute enormously to restoration and rehabilitation.

    Joshua Seidman, PhD, is Chief Analysis and Information Officer for Fountain Home, a nationwide psychological well being nonprofit working for and alongside folks with critical psychological sickness to help their restoration.



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