In 2015, Cigna accelerated the transition to alternative payment models that linked health care provider payments to both quality and affordability. The goal was to have 50% of U.S. Medicare and commercial health care provider payments made through alternative payment arrangements by the end of 2018. We're happy to report that we've exceeded this goal in our top 40 markets, proving that value-based care is a successful solution1.
Cigna launched value-based care delivery a decade ago. We embraced a health care delivery system that pays health care providers based on improved health outcomes instead of the traditional fee-for-service model, which pays providers based on volume. The move helped us shift 50.5% of provider payments in our top 40 markets1 to alternative payment arrangements, and improve the quality of health care for customers. The results were impressive: more than $600 million from 2013-20171. In addition, value-based care has contributed to Cigna maintaining the lowest medical cost trend among our top national competitors for six consecutive years2.
“Cigna's focus on quality and affordability enabled the company to exceed its 50 percent alternative payment goal in our top 40 markets, offering more value for our customers’ and clients’ health care dollars,” Scott Josephs, MD, chief medical officer at Cigna, explains. “This is a critical milestone as we work to accelerate the pace of change in health care delivery in the United States. Our commitment to value-based care and alternative payment models is driving better health outcomes, increased affordability and improved patient experience for the people we serve.”
The numbers tell the story.
Value-based care drives improved quality.
Cigna's transition to value-based care models has resulted in significant improvements in health care for its customers. Top-performing Accountable Care Program health care providers demonstrated a quality performance of 11% better than the market5 - with 92% of providers either meeting or exceeding quality benchmarks6.
Cigna collaborates with participating providers who receive clinical support, data and insights that help improve health outcomes based on an individual's unique health care needs.
According to a survey7 of Cigna commercial Accountable Care Program providers: