Value Based Care Emergent Care Services

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1 Value Based Care Emergent Care Services If this is an emergency, dial 911 or go to the Emergency Room About the Speakers Cliff Frank Co founder of Partnera, specializes in designing managed care products that offer financial incentives for patients to use efficient and high quality health care providers. Managed Care Contracting Provider Risk Integration Organization Capitation John McCreedy Co founder of Partnera has started and run ten healthcare businesses including Technology, HMO, Bankcard, and Physician owned outpatient services companies. Specialized in: Consumer Engagement Technology Platforms Outpatient Services Marketing & Sales 2 1

2 Problem Un doctored consumers are driving $575 billion inappropriate emergent care Fee for service ER visits add another $100 $200 billion in unnecessary admissions, testing and referrals No one is systematically reducing this waste High out of pocket costs are driving 40% of consumers to forego medical care ER and urgent care center visits may stabilize, but typically do not resolve the patient s medical issue Value Based Contracting Savings 3 Current Approach to Solving Payers want to shift risk OR Deny, Deny, Deny Risk transfer contracts most expeditious to align incentives Emergent Providers are conflicted: FFS revenue keeps the door open Little/no experience managing risk Fee for Service Risk Contract 4 2

3 Why Isn t This Happening? Payers in the risk management business Providers in the reimbursement business Consumers in the entitlement business 5 Emergent Care Services Right place, right time, right service Examples United Farm Workers Temple West Baltimore Consumer Engagement Health Plan Coverage Continuity ED Avoidance by High Utilizers Behavioral Health Support PCP Engagement 6 3

4 Emergent Care Process Engagement Coordination Treatment Recovery Reactive Process Nurse triages in bound call; Transfers to 911 OR Coordinate Emergent Care Counselor Propose immediate care pathway On demand mobile health Facilitates member action(s) to seek prompt treatment Clinical and psychosocial services provided Define barriers to recovery and facilitate solutions Proactive Process Counselor contacts member and Identifies barriers to recovery and pyscho/social conditions that trigger ER/911 Coverage continuity Behavioral health support ER avoidance education for high utilizers PCP engagement Facilitates member action(s) to minimize barriers to recovery and avoiding unnecessary care Arrange on demand mobile health transportation Clinical, social and psychosocial services provided Track progress, revise and coordinate service delivery through patient recovery 7 Barriers to Value Based Emergent Care Fragmented market fails to address Root Cause Clinical, Mental Health and Social Services not integrated or aligned Un Doctored Consumers HDHP and ACA add to the problem Use the ER as primary source for services 70% of Medicaid 40% of Millennials 8 4

5 Hospital Emergency Visits Variation by Payer Variation by Geography ER Visits/ ER Utilization Undoctored Care Rates /1000 Medicaid 1234 Commercial 259 Medicare High Medium Low Medicaid Commercial Medicare Source: KFF 2014, CMS, BRG Source: KFF Impact of Insurance Reform Deductibles increased 75% since 2009 Consumers have little incentive to to engage 76% are generally dissatisfied with cost of healthcare (11/14 Gallup Poll) 38% are demanding lower cost treatment alternatives (10/15 PwC) 40% are foregoing medical care until they need care immediately (10/15 PwC) Un doctored visit may stabilize, but typically does not resolve the patient s medical issue or adequately manage chronic condition Conclusion: We need a Value based Model for Emergent Care 10 5

6 Q&A

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