Health systems, physicians, and health plans in Springfield are entrenched in value-based care models under a state-driven care delivery transformation initiative that supports the move from fee-for-service payments toward alternative payment arrangements. These programs, which aim to reduce the cost of care and improve quality, tend to emphasize drug adherence, given the link between outcomes and adherence. However, a focus on pharmaceutical spend makes health systems and physicians more likely to hold down costs by using generic drugs. The MassHealth Medicaid program also drives reform, as it moved most members into accountable care organizations that are responsible for total cost of care. Successful outcomes could spur more alternative payment arrangements featuring downside risk among health systems.


Related Reports

El Paso | Texas | 2019 | Market Overview (Event Driven)

El Paso’s healthcare sector continues to be driven chiefly by its large health systems, which have been active in building outpatient care sites to expand their reach across the market. The presence o...

View Details

Phoenix | Arizona | 2019 | Market Overview (Event Driven)

The Phoenix market is experiencing a shift in healthcare delivery with value-based contracts, service expansion, consolidation, and integration as the primary trends. The creation of a mega health sys...

View Details

Cape Coral | Florida | 2019 | Market Overview (Event Driven)

Cape Coral is a tale of two counties, with Lee Health controlling Lee County to the north, and NCH Healthcare dominant in Collier County to the south. The border area between the two counties is seein...

View Details

Omaha | Nebraska | 2019 | Market Overview (Event Driven)

Catholic Health Initiatives, parent of Nebraska-based CHI Health, completed a merger with San Francisco–based Dignity Health, creating the nation’s largest nonprofit health system by operating revenue...

View Details