Great Lakes Wire

Health care costs continue to be a burden for many families and businesses. One contributing factor is the traditional "fee-for-service" payment model, which compensates providers for each test, treatment, or procedure they perform. This model prioritizes volume over quality since providers receive payment regardless of patient health outcomes.

To address this issue, Blue Cross Blue Shield of Michigan is shifting its payment approach. The organization aims to reward providers based on quality, experience, and value rather than the number of services performed. This initiative involves collaboration with Michigan health systems and physicians.

The change seeks to promote affordability and improve patient outcomes by aligning financial incentives with the quality of care provided.

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