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Humana’s happy news about value-based MA programs

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Humana, the giant health-insurance company, reports that its Medicare Advantage members enrolled in value-based programs get better care and healthier outcomes than in  traditional fee-for-service programs — while helping to cut costs.

The company said it had 20 percent lower costs last year for members affiliated with providers in value-based reimbursement models compared with estimated  fee-for-service  Medicare costs.

Members with chronic conditions in value-based MA plans had better health outcomes on average than those not in such plans.  The Centers for Disease Control and Prevention has said  that chronic ailments are responsible for 86 percent of U.S. healthcare costs.

Humana, which manages the plans of 3.1 of the 18.5 million MA enrollees, said that 1.2 million of its MA members are affiliated with providers in value-based reimbursement models.

Humana also reported:

  • Providers  in value-based payment models had 19 percent greater care-quality scores than those in standard fee-for-service programs.
  • Emergency room visits were 6 percent lower for patients in value-based programs than in fee-for-service programs.

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