Avalere Health
An Inovalon Company
Insights

Feb 20, 2013

Act Now to Avoid 2015 VBP Program Cuts

Published

Feb 20, 2013

Reducing your hospital’s MSPB score is an important first step in preparing to manage your patients' post-discharge costs.

In 2015, hospitals stand to lose up to 3 percent of their Medicare reimbursement unless they can demonstrate improvement in measures evaluated under the Value Based Purchasing (VBP)program.

To avoid unnecessary reimbursement penalties, hospitals must reduce their Medicare Spending per Beneficiary (MSPB), as it will account for 20 percent of their total VBP performance score starting in 2015.

If 2015 seems far away, think again: to avoid these reimbursement penalties in 2015, hospitals are being evaluated this year and must spend at or below the national median MSPB between May 1 and Dec. 31, 2013.

Avalere can help you identify strategies to manage your hospital’s MSPB by analyzing how spending for your hospital’s 10 highest-volume conditions compares to the national average. With a better understanding of outliers in hand, you can identify opportunities to increase efficiencies and improve your MSPB score. For more information, contact Holly Wittenberg.

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