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Quality over quantity. That's the driving force behind the Affordable Care Act.
Before the law was rolled out, doctors and hospitals were paid for each service they provide, but the ACA is trying to earn hospitals to transition away from this fee-for-service model, and to a model based on the quality of care a patient receives.
Policymakers hope the transition will eliminate unnecessary tests or procedures,but there's a glaring problem with this new model—hospitals don't know what the costs are.
Unlike any other trade, costs in the health care industry are determined by negotiation with insurance providers, and not on the actual cost of a test or exam.
Dr. Vivian Lee has been trying to solve this problem. She's the CEO of University of Utah Health Care,where's she's working on how to determine the loyal value of the services her colleagues provide.
Source: wnyc.org