UHC’s Bundled Payments Demonstrate Improved Outcomes, Reduced Costs

By Julie A. Vetalice

UnitedHealthcare’s value-based Spine and Joint Solution program for knee, hip and spine procedures demonstrated fewer hospital readmissions and complications following surgery, while generating savings of ~$18MM for participating employers. Specifically, the bundled payment program was part of a 22% reduction in hospital readmissions and 17% fewer complications for joint replacement surgeries vs. nonparticipating facilities. For spine, readmissions were reduced by 10% with 3.4% fewer complications vs. nonparticipating facilities.

Since introduction in late 2016, the Spine and Joint Solution has expanded to 46 participating U.S. healthcare facilities, with more than 115 employers enrolled and 3MM employees. Participating employers have realized an average savings of $18,000 per operation compared with median costs in the same metropolitan area. Eligible employees saved more than $3,000 in out-of-pocket costs per procedure when accessing a participating facility.

UnitedHealthcare’s care provider reimbursements, which are tied to a variety of value-based care arrangements, have nearly tripled in the last three years to $64BB annually, and are expected to reach $75BB by the end of 2020.

Source: UnitedHealthcare

Product Labels: Hip Replacement, Spinal Fusion

Tags: Care Delivery