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Built Patient-Centered Model with Value Based Healthcare12 min read

Value Based Health Care
Global healthcare is experiencing a dynamic shift from the standard fee-for-service to patient-centered care models, typically known as Value Based Healthcare.


The healthcare landscape is continuously evolving, with an increasing focus on improving patient outcomes and overall care quality. One approach that has gained significant traction in recent years is value-based healthcare. This innovative model aims to deliver care that maximizes patient satisfaction while minimizing costs, making it a patient-centered approach that aligns healthcare providers’ incentives with the outcomes that matter most to patients.

In this blog, you will gain a comprehensive knowledge of value-based care in healthcare, including value-based reimbursements and the implementation of the value-based care model. We will discuss each aspect in turn to demystify the value-based healthcare model and provide you with a deeper understanding of its benefits and how it can be implemented effectively.

Let’s figure out the mystery of the value based health care model by discussing each aspect in turn. 

What is Value Based Healthcare?

Value based healthcare is a framework that shifts the focus from the quantity of services delivered to the quality and effectiveness of those services. Rather than simply reimbursing healthcare providers based on the volume of patients seen or procedures performed, value based  healthcare considers patient outcomes and the overall satisfaction experienced by patients.

Choosing the right external billing company to handle this shift is paramount for physicians who want to reap the advantages of value based  care without being stuck in administrative nightmares.

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Centers for Medicare & Medicaid Services (CMS) Value Based Programs

The following five original value based programs are linked to provider performance of quality measures:

  • Physician Value-Based Modifier or (PVBM) or Value Modifier (VM) Program
  • Hospital Readmission Reduction Program (HRRP)
  • End-Stage Renal Disease Quality Incentive Program (ESRD QIP)
  • Hospital Acquired Conditions (HAC) Reduction Program Hospital Value-Based Purchasing (VBP) Program

Other Value Based Programs

Apart from five original value based programs following are also known

  • Home Health Value Based Purchasing (HHVBP)
  • Skilled Nursing Facility Value-Based Purchasing (SNFVBP)

Effective Outcomes of Value Based Healthcare Implementation

Implementing a value based  healthcare approach can lead to many positive outcomes.

Firstly, it promotes a more holistic approach to patient care, addressing not only their immediate medical needs but also considering the social determinants of health. This comprehensive perspective ultimately leads to better health outcomes and improved patient experiences.

Secondly, value based  healthcare encourages healthcare providers to engage with patients in shared decision-making actively. By involving patients in treatment choices and tailoring care plans to their preferences and goals, providers can increase patient satisfaction and the likelihood of successful treatment outcomes.

Furthermore, the value based  healthcare model incentivizes healthcare organizations to focus on preventive care and early intervention. By detecting and addressing health issues at an early stage, healthcare costs can be significantly reduced, and patients can benefit from improved health outcomes.

Role of Value Based Healthcare in Patient Care

Value Based Healthcare in Patient Care
Role of Value Based Healthcare in Patient Care

Value based healthcare fundamentally places the patient at the center of the care delivery process. It recognizes that each patient is unique, with their own set of circumstances, values, and goals. By adopting this model, healthcare providers can shift their focus towards personalized care plans aligned with individual patient needs.

Moreover, value based  healthcare encourages the coordination and collaboration of care across various healthcare providers. This integrated approach ensures that patients receive seamless and cohesive care, preventing redundant tests or procedures and reducing the likelihood of medical errors.

Ensure Cohesive Patient Care With Value Based Healthcare Approach

Steps of Implementation of Value Based Care

The implementation of a patient-centered model through value based  healthcare has the potential to revolutionize the way healthcare is delivered. By focusing on effective outcomes, promoting patient satisfaction, and aligning incentives appropriately, value based  healthcare offers a promising approach to improving the overall quality and value of healthcare services. Embracing this model requires a collaborative effort across the healthcare system, but the potential benefits make it a worthy endeavor. 

Following are the steps for implementation of value based healthcare model 


Conduct a thorough assessment of the healthcare organization’s current processes, capabilities, and infrastructure to identify areas of improvement and potential barriers to implementation.

  • Evaluate the existing data collection and analysis methods to ensure they capture relevant information for measuring outcomes and assessing value.


Establish clear goals and objectives for the implementation of value based  healthcare and align these with the organization’s overall strategic direction.

  • Engage key stakeholders, including healthcare providers, administrators, and patients, to ensure everyone’s perspectives and priorities are considered during the alignment process.


Redesign care processes to align with value based  principles, focusing on patient engagement, care coordination, and data-driven decision-making.

  • Implement technologies and systems that enable efficient data collection, analysis, and communication across various healthcare settings and providers.


Develop robust measurement frameworks to track and evaluate patient outcomes, quality of care, and cost-effectiveness.

  • Incorporate patient-reported outcomes measures (PROMs) to capture subjective patient experiences and satisfaction levels.


Establish a comprehensive incentive structure that rewards healthcare providers for achieving positive patient outcomes and delivering high-value care. Consider both financial and non-financial incentives, such as recognition and professional development opportunities, to motivate providers to embrace the value based  model. To effectively promote value based  care, healthcare providers and organizations have adopted several key strategies. These strategies not only aim to enhance patient outcomes but also improve the overall quality and efficiency of healthcare delivery. By aligning financial and non-financial incentives toward achieving better patient care, a patient-centered model of healthcare can be built. Let’s delve into some of the strategies used to promote value based  care:

Financial Incentives

Financial incentives play a pivotal role in driving the adoption of value based  care models. By appropriately incentivizing healthcare providers based on the quality of care they provide, organizations can encourage a focus on value rather than volume. Some key strategies utilized in this regard include:

  • Pay-for-Performance (P4P): This approach ties reimbursement to specific performance measures, such as patient health outcomes or adherence to evidence-based guidelines. By rewarding providers who achieve better outcomes, P4P incentivizes the delivery of high-quality and cost-effective care.
  • Bundled Payments: Under this model, a fixed payment is made to healthcare providers for an entire episode of care, spanning from diagnosis to recovery. This encourages collaboration among providers and reduces unnecessary healthcare utilization while focusing on delivering better value to patients.
  • Shared Savings: With shared savings programs, providers are rewarded for achieving cost savings while meeting quality benchmarks. These programs promote accountable care organizations (ACOs) and encourage the coordination of care across various healthcare settings to optimize outcomes and reduce waste.

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Non-Financial Incentives 

Apart from financial incentives, non-financial strategies also play a crucial role in promoting value based care. These incentives focus on fostering patient engagement, enhancing care coordination, and promoting the adoption of innovative technologies. Some notable strategies in this category include:

  • Patient Education and Empowerment: By focusing on patient education and empowerment, healthcare providers can actively involve patients in their own care decisions. This can be achieved through the provision of educational materials, shared decision-making tools, and patient engagement platforms. Empowered patients are more likely to actively participate in their own care, leading to better outcomes and improved adherence to treatment plans.
  • Care Coordination and Integration: Value based care models emphasize the importance of care coordination across different providers, settings, and specialties. By promoting the seamless exchange of patient information and enhancing communication channels, healthcare organizations can ensure a holistic approach to patient care. This includes utilizing electronic health records (EHRs), telemedicine, and clinical decision support systems to facilitate timely and efficient care delivery.
  • Promotion of Health Information Technology (HIT): The integration and utilization of HIT, including electronic medical records, telehealth, and patient monitoring devices, are crucial in promoting value based  care. These technologies enable efficient data exchange, real-time monitoring, and improved care coordination. By leveraging the power of HIT, healthcare organizations can enhance patient safety, reduce medical errors, and facilitate the delivery of personalized and patient-centered care.

Protocols of Value Based Care In Healthcare

Value Based Care In Healthcare
Protocols of Value Based Care In Healthcare

Implementing value based care protocols in different healthcare settings requires tailoring the approach to the specific needs and challenges of each setting. Here are few examples:

Primary Care

In primary care settings, value based  care can be achieved by focusing on preventive services, primary care management, and continuity of care. This includes regular screenings, wellness programs, and proactive outreach to patients with chronic conditions.

Hospital Settings

In hospitals, value based care can be enhanced by reducing healthcare associated infections, preventable readmissions, and unnecessary tests or procedures. Improved care coordination and communication among healthcare providers are also crucial aspects.

Specialty Care

Value based care in specialty settings entails providing evidence-based treatments, optimizing care pathways, and ensuring timely access to specialized services. Collaborating closely with primary care providers and implementing shared decision-making practices can further enhance patient outcomes.

Role of the Value Based Care Model

The value based  care model plays a pivotal role in reshaping the healthcare system as a whole. By incentivizing quality and patient-centered care, it drives positive change and fosters a culture of continuous improvement within healthcare organizations.

Moreover, the value based  care model encourages collaboration and partnerships among different healthcare stakeholders, including healthcare providers, payers, and policymakers. This collective effort promotes innovation and sharing best practices, ultimately leading to better health outcomes and improved healthcare delivery.

Value Based Healthcare Outsourcing Benefits

Value based healthcare outsourcing strategies are the most beneficial way for both provider and patient. By outsourcing value based care services, your provider can fairly enjoy the following benefits :

  • Speedy Turnaround Times: In healthcare, time is life. Considering this life-saving maxim, our company has designed services with the fastest turnaround times. This means your practice gets faster reimbursements, and your patients get a quick and hassle-free billing experience.
  • Team of Dedicated Professionals: Understanding and implementing value based  healthcare requires a certain level of expertise. Our team comprises seasoned professionals with deep knowledge of regulatory compliance and best practices to ensure your practice evolves and aligns with changing healthcare dynamics.
  • Higher Accuracy in Services: Accuracy is key in healthcare billing. It prevents revenue leakage and promotes patient satisfaction. Our team has a rigorous approach to maintaining supreme accuracy rates, meaning fewer denied claims for your practice and lessened out-of-pocket expenses for your patients.
  • Affordable Rates: Great services don’t have to empty your pocket. Every practice – big or small – should have access to top-notch healthcare services. It is why our value based  healthcare services are priced affordably, leaving you ample resources to focus on patient care.


In conclusion, promoting value based  care requires the implementation of various strategies that align financial and non-financial incentives toward providing high-quality care. By utilizing financial incentives like pay-for-performance, bundled payments, and shared savings, healthcare organizations encourage the delivery of cost-effective and outcome-driven care. Additionally, non-financial incentives such as patient education, care coordination, and the integration of health information technology further enhance the patient-centered model of healthcare. Embracing these strategies can help build an efficient, effective, and patient-centered healthcare system that prioritizes value and quality outcomes.

Frequently Asked Questions Answered by Transcure Team

What are Some of the Main difficulties in Advancing Value Based Care And its Respective Alternative Payment Models?

One of the main difficulties is that many healthcare providers are resistant to change and may need to be more familiar with the technology and processes necessary to transition to a value based care system. Additionally, there may be a need for more financial resources or incentives to make the transition. Furthermore, the complexity of developing and maintaining the necessary data analytics and IT infrastructure to support value based care models can be challenging.

What is the Key to Making Value Based Care Models Successful?

The key is to ensure that providers have access to the resources and support they need to develop and implement the necessary data analytics and IT infrastructure. Additionally, providers should be encouraged and incentivized to make the transition to value based care models through financial and other incentives.

What is a Value Based Approach to Service?

A value based approach to service focuses on providing care that delivers maximum value to the patient in terms of both outcomes and cost. It emphasizes quality outcomes, patient satisfaction, and cost-effectiveness in the delivery of care.

What is the Opposite of a Value Based Payment Model?

The opposite of a value based payment model is a fee-for-service payment model. This model pays providers for each individual service they provide, regardless of the outcome or cost-effectiveness of the care. It is not focused on delivering maximum value to the patient and instead rewards providers for the volume of care they provide.

What is an Example of Value Based Pricing for Services?

Value based pricing in services is when providers are paid according to the value of the services they provide rather than the quantity of services they provide. For example, a provider might be paid a flat fee for a package of services that are designed to achieve a certain outcome, such as pain relief. The cost is based on the value of the services provided and not the quantity of services offered.

Darren Straus
Darren Straus
Leverages expertise in RCM, medical billing, and coding to navigate the complexities of healthcare IT. I like to write about simplifying complex healthcare processes and empowering providers with efficient solutions.



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