Pamela Beesly

The fee-for-service model of Reimbursement would invariably result in more expenses for greater amounts of services like tests, scans, therapies, and other kinds of treatment recommended by the providers. Healthcare spending in the United States has been much higher than in other countries, and it has a serious impact on the economy. Surveys and research by various organizations have concluded that the cost of hip replacement surgery in the United States is comparable to putting down a down payment on a house in many other countries! Many view this as a gross violation of basic human needs since every person is bound to be sick or injured at least once in their lifetimes.

Healthcare spending in the country has crossed $3.5 trillion, and it is more than 15% of the country’s gross domestic product. Moreover, that’s more than the entire economies of all but four countries – The United States, China, Japan, and Germany. The US has the lowest life expectancy of all the high-income countries in the OECD and twice the average rate of obesity.

These eye-popping numbers show a system that doesn’t help patients, but it also shows a wide chasm between the hard-earned money spent on medical care and the relatively poor outcomes for patients. Whether the medical paid through government initiatives, insurance coverage, or the patients’ pockets, they would end up with the providers.

Source: https://www.osplabs.com/insights/value-based-reimbursement-in-healthcare/