Gary W. Herschman, a Member of the Firm, and Kevin Malone, an Associate, in the Health Care and Life Sciences practice, in the firm’s Newark and Washington, DC, offices, respectively, authored an article in Medical Economics, titled “Despite White House Shake-Up, Value-Based Pay Is Here to Stay.”

Following is an excerpt:

While campaigning for president, Donald Trump consistently promised to repeal the Affordable Care Act (ACA).

This raises the question of whether the trend toward value-based payment (VBP) — using healthcare quality outcomes and cost efficiency as a basis for reimbursement for healthcare services — will continue regardless of the future of the ACA.

Commercial payers, large employers and leading provider systems across the nation have fully embraced this transformation and they will not simply revert back to the fee-for-service system of healthcare delivery and reimbursement.

In addition, if the Medicare Access and CHIP Reauthorization Act of 2015 (MACRA) regulations are not substantially altered or the underlying statute amended, quality-based payments will soon be implemented in some form for nearly all Medicare reimbursements, regardless of what happens to the ACA. 

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