Developing a Bundled Pricing Strategy

Brandon D. Bushnell, MD

In the traditional fee-for-service reimbursement model for health care, each “part” of an episode of care is billed individually. Under the “bundled pricing” concept, however, all aspects of the episode of care are pooled into a single price that covers the whole “bundle” of services and products.

Pros and Cons of Bundled Payments Participation

Thomas G. Friermood, MD; Brian McCardel, MD; Peggy L. Naas, MD, MBA

Healthcare costs in the United States have increased markedly during the past two decades. Physicians and policy makers alike realize that changes in how health care is delivered and paid for are necessary. As Brandon D. Bushnell, MD, points out in this issue (See “Developing a Bundled Pricing Strategy” on page 16), bundled payments are a possible solution with significant promise. A bundled payment is a single payment for all services related to an episode of care.

Second Look

FDA: Limit acetaminophen in combination products The U.S. Food and Drug Administration (FDA) is asking manufacturers of prescription combination products that contain acetaminophen to limit the amount of acetaminophen to no more than 325 milligrams (mg) in each tablet or capsule. Manufacturers must update labels of all prescription combination acetaminophen products to warn of the potential risk for severe liver injury.

Study of Medicare Claims Data Focuses on MRI Use

Julie Williams; Elizabeth Fassbender

According to a new study of Medicare claims data on in-office magnetic resonance imaging (MRI) equipment ownership among orthopaedic surgery practices, no statistically significant differences in MRI utilization were found between orthopaedic surgeons who own MRI equipment and those who do not.

Orthopaedic Registries Update

Christopher J. Dy, MD, MPH; Eric C. Makhni, MD, MBA; the Washington Health Policy Fellows

In the United States, widespread use of clinical registries–—collections of prospectively gathered data from a group of patients with a common characteristic (usually a diagnosis or treatment)—has been limited for many reasons, including the challenge of obtaining longitudinal patient follow-up data in a multiple-payer system.