The move to value-based payment is going well, but the real work has to be done on the care transformation side, Farzad Mostashari, MD, co-founder and chief executive of Aledade.
The move to value-based payment is going well, but the real work has to be done on the care transformation side, Farzad Mostashari, MD, co-founder and chief executive of Aledade, said at the National Association of Accountable Care Organizations Spring 2016 Conference in Baltimore, Maryland.
Transcript (slightly modified)
How do you think the move to value-based payments is going so far?
Look, the move to value-based payment is going great. The delivery transformation to meet the new payment models is where I think we have a lot of work to do.
There’s been a massive increase in the number of accountable care contracts—those on the Medicare side, those on the commercial side, and there isn’t a single payer that we’ve talked who hasn’t said “sure, yeah, we’re interested in a risk-based contract.” The challenge is just having a new payment model doesn’t automatically guarantee that you’re going to have care transformation. The real work that has to be done is on the care transformation side.
Do you think accountable care organizations (ACOs) are here to stay?
I do, I do think ACOs are here to stay. If we’re able to actually create better care at lower costs.
In this new volume to value transition, I said there are 3 options for business models. Option 1: Deliver better care at lower costs. It’s hard. Option 2: Create or support a local monopoly. Then you don’t need to deliver better care at lower costs, right? You just have a monopoly; monopolies are awesome in that way! And hope that the Department of Justice and the Federal Trade Commission, you know, don’t pick up on this. Option 3 is close your doors.
So we’re choosing option 1.
A meta-analysis showed that control group outcomes in psilocybin trials for depression were significantly weaker than those in selective serotonin reuptake inhibitor (SSRI) and esketamine trials, suggesting that psilocybin’s large observed treatment effects may be inflated by methodological factors such as functional unblinding and expectancy bias.
Read More
Trump Directs Pharma Companies on Cutting Drug Prices Under Most-Favored-Nation Order
July 31st 2025President Donald Trump has sent letters to pharmaceutical companies, aiming to compel them to lower drug prices in the US to match the lowest prices offered in other developed nations, a move that could significantly reduce costs and disrupt the current system of pharmacy benefit managers.
Read More
Legal Navigation Services Key to Addressing Disparities in Cancer Care
July 31st 2025A significant number of patients with cancer, caregivers, and health care professionals face significant disparities in legal issues, with the most common needs revolving around health insurance, finances, employment, and disability insurance.
Read More