Value-based payment models

Terri Menser, Ann Scheck McAlearney

Research output: Chapter in Book/Report/Conference proceedingChapter


The concept of value-based purchasing (VBP) refers to performance-based payment strategies that link financial incentives to health-care provider performance, within a set of defined measures, in order achieve better value by driving improvements in quality and by slowing the growth in health-care spending. These types of models include Accountable Care Organizations (ACOs), hospital value-based purchasing (VBP) programs, bundled payments, and clinically integrated networks (CINs). Accountable Care Organizations (ACOs) are groups of physicians, hospitals, and other health-care service providers who are aligned with a purpose to integrate care and promote accountability for a defined patient population. A clinically integrated network (CIN) is a network of providers who continuously evaluate and modify their clinical practices in accordance with agreed-upon protocols to control costs and improve quality. Value-based purchasing (VBP) is a health-care reimbursement mechanism that is based on hospital performance and improvement in three areas: quality of care, adherence to best clinical practices, and patient experience. To stabilize rising costs while improving population health, a concerted effort to reduce the duplication of services and assist patients in navigating the care system is needed, and value-based purchasing models seek to incent and reward this approach.

Original languageEnglish (US)
Title of host publicationChronic Illness Care
Subtitle of host publicationPrinciples and Practice
PublisherSpringer International Publishing
Number of pages12
ISBN (Electronic)9783319718125
ISBN (Print)9783319718118
StatePublished - Jan 1 2018


  • Accountable Care Organization
  • Bundled payments
  • Clinically integrated network
  • Medicare Shared Savings Program
  • Patient Protection and Affordable Care Act
  • Pioneer ACO
  • Value-based purchasing

ASJC Scopus subject areas

  • Medicine(all)


Dive into the research topics of 'Value-based payment models'. Together they form a unique fingerprint.

Cite this