While reducing the cost of health care by $155 million over three years sounds impressive, doing so while improving the quality of care is even more notable. And that is exactly what has been done by the Michigan Blues, in partnership with physicians who have adopted a patient-centered medical home model of care.
A study published in the journal Health Services Research noted that when the PCMH model is fully implemented, practices have a 3.5 percent higher quality measure, a 5.1 percent higher preventive care measure and a $26.37 lower per member per month medical cost for adults. And the financial results for the fourth year are even more extraordinary, with an estimated cost reduction of $155 million as well.
“As it (PCMH model) matures, as the processes become more standardized, and as patients get more used to using them effectively, we’re seeing more and more positive results,” says Dr. David Share, BCBSM senior vice president of Value Partnerships in our third podcast of a three part series. (Links to part one and part two.)