Physician Performance-Based Incentive Programs

Physician Performance-Based Incentive Programs Wednesday, July 16, 2014

Traditional compensation systems create little or no incentive for physicians to focus on quality improvement activities or manage costs. Many payment systems for physicians are based on a fee-for-service model that encourages them to perform reimbursable procedures only and use resources without regard to cost. New payment structures are creating incentives for physicians to deliver high-quality rather than volume-driven care.

The featured policy Innovations describe three programs that offered financial incentives to physicians based on their performance in meeting clinical care improvement goals and on various metrics of efficiency and quality.

The featured QualityTools include an interactive tool that helps practitioners determine their payment adjustments and reimbursements for Medicare incentive programs; a resource that provides community collaboratives with practical information and guidance on the design, dissemination, and use of feedback reports on physician performance; and a toolkit for health plans and providers, with step-by-step instructions for implementing a bundled fee payment system covering all patient services related to an illness, condition, or procedure.

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