Healthcare officials and Blue Cross Blue Shield of Massachusetts are taking steps to fight the rising costs of healthcare as they enter year two of the state's healthcare reform initiative.
HealthLeaders-Interstudy, a provider of managed care market intelligence, reports that according to the latest New England Health Plan Analysis, the rising costs of healthcare coupled with an unforeseen surge in enrollment could lead to Commonwealth Care and Commonwealth Choice being undermined.
Blue Cross Blue Shield of Massachusetts officials say that ending the practice of paying providers for each visit or treatment and instead allowing a flat payment per patient each year (adjusted for age and sickness) could alleviate those rising costs. Additionally, the health plan said it would pay a significant bonus if the providers improve care.
"As concerns have begun to mount over cost, both the health plan and hospital association are attempting to take proactive steps, floating ideas to frame the discussion," said Ric Gross, market analyst for HealthLeaders-InterStudy and author of the report.
The health plan association has also released a comprehensive set of recommendations, including a mixture of legislative proposals and voluntary measures. In a 17-point legislative package, the association addresses everything from public reporting and non-billing of preventable errors to making greater use of managed Medicaid.
The state's hospital association has put forth an agenda that includes efforts for administrative simplification; addressing the workforce shortage, especially as it relates to nurses; and instituting a chronic-care disease management program around diabetes, though that plan is still in its infancy.
The New England Health Plan Analysis report includes coverage of the Maine, Massachusetts, New Hampshire, Rhode Island and Vermont health plan market.