The remote monitoring technology can reduce readmissions by 20%. The urgent care center can decrease ED utilization among your health plan’s beneficiaries. So why do these investments look so bad in your financial models?
It's not the investments. It's your model. When evaluating ROI, traditional pro formas only account for activity-based revenue. Under value-based reimbursement—yes, even value-based fee-for-service (FFS)—you also need to factor in additional sources of returns.
To help you more accurately capture the value of different-in-kind investments, we created the Value-Based Pro Forma tool, which lets you assess the three sources of returns outlined below, in addition to traditional activity-based revenue.
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Primer: Value-Based Investment Analysis