Identifying Payment Policies to Improve the Business Case for Quality, Phase 1

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A previous Fund-supported project showed that although quality-enhancing interventions may save health care dollars over the long run, from the providers' perspective the business case for these efforts is weak or nonexistent. In the first phase of this project, investigators will develop a process to identify categories of improvements undertaken by hospitals or health systems that are likely to yield financial payoffs for insurers, employers, or health care providers. They will also identify payment reforms, such as "gain-sharing," that could help eliminate barriers to adoption. If this work proceeds satisfactorily, support for a second phase of work would help project staff quantify the financial gap that must be closed to make it feasible for a health care delivery system to invest in the selected interventions. Phase 1 will yield a robust method for analyzing the business case for quality improvements, as well as a set of interventions appropriate for in-depth financial analyses in Phase 2.

Grant Details

Grantee Organization:
University of North Carolina
Principal Investigator:
Kerry Kilpatrick, M.B.A., Ph.D.
Award Amount:
$101,418.00
Approval Date:
July 8, 2003

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