Better outcomes, lower costs, with value-based models, Humana says

Humana Inc., a Medicare Advantage health plan provider, released its 2014 population health results Wednesday that it says shows its value-based reimbursement models are associated with better outcomes and lower costs.

For the 2014 results, Humana compared quality and outcomes for approximately 1 million Medicare Advantage members who were treated by providers in value-based reimbursement models with Humana versus members who were treated by providers in standard Medicare Advantage settings.

[Also: Humana to distribute $77 million in bonus payments to physicians]

Members of Humana's Medicaid Advantage program served by providers in value-based reimbursement models had more screenings and healthier outcomes than their counterparts, according to the Louisville, Kentucky health insurer.

The findings include: costs 18 percent lower in value-based reimbursement models versus fee-for-service Medicare; 7 percent fewer inpatient admissions for Humana Medicare Advantage members; 6 percent fewer emergency room visits; better chronic condition management for diabetes care eye exams, blood sugar control and osteoporosis management for members in value-based reimbursement models; and higher assessment rates for older adults.

Also, Humana providers in value-based reimbursement had 21 percent higher Healthcare Effectiveness Data and Information Set Center for Medicare and Medicaid Services Star scores as compared to providers in standard Medicare Advantage settings, according to to the results.

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As the Department of Health and Human Services ties 50 percent of Medicare payments to value by 2018, about  59 percent of Humana's individual Medicare Advantage members have access to primary care physicians who are part of value-based relationships, it said. The goal is to raise that number to 75 percent by the end of 2017, Humana said.

"Putting the physician/patient relationship at the center of care, combined with the transformative power of the value-based reimbursement model, is helping people with Medicare Advantage achieve their best health," said Bruce Broussard, Humana's President and Chief Executive Officer.

Twitter: @SusanJMorse