2014 National Scorecard on Payment Reform

The new National Scorecard on Payment Reform shows commercial health plans have dramatically shifted how they pay physicians and hospitals, with 40 percent of their payments now designed to encourage health care providers to deliver higher-quality and, in some cases, more affordable care. It also shows a 29 percentage point increase over 2013, when just 11 percent of payments were value-oriented. However, 60 percent of payments remain largely in traditional fee-for-service. While the Scorecard findings are not wholly representative of all health plans nationally, they offer a baseline against which to measure progress toward value-oriented payment in the commercial sector.