The CFO's guide to value-based purchasing

AR Improvement

CMS's Hospital Inpatient Value-Based Purchasing (VBP) Program differs from other other pay-for-performance programs: it's budget-neutral and provides an opportunity for financial gain.

Through the program, hospitals receive an incentive payment relative to their withhold amount and their performance on a variety of measures. Hospitals that earn an incentive payment exceeding the withhold effectively earn a bonus payment, while hospitals earning an incentive less than the withhold are effectively penalized.

This research note details why you should act on VBP measures now to minimize year-over-year reimbursement reductions.

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