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Newsletter Article


Study: Alternative Quality Contract Slows Spending, Improves Quality

Doctor explaining treatment plan

Seeking to reduce health care spending growth while increasing quality, Blue Cross Blue Shield of Massachusetts introduced an alternative to fee-for-service reimbursement in 2009. The Alternative Quality Contract, as it’s called, pays providers a global budget for patient care plus bonuses and incentives based on cost-savings and quality performance. In a Commonwealth Fund–supported study (New England Journal of Medicine, Oct. 30, 2014), Zirui Song and colleagues report on the effects of the contract after four years.

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