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Linking payment to health outcomes: A taxonomy and examination of performance-based reimbursement schemes between healthcare payers and manufacturers

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  • Carlson, Josh J.
  • Sullivan, Sean D.
  • Garrison, Louis P.
  • Neumann, Peter J.
  • Veenstra, David L.

Abstract

Objective To identify, categorize and examine performance-based health outcomes reimbursement schemes for medical technology.Methods We performed a review of performance-based health outcomes reimbursement schemes over the past 10 years (7/98-010/09) using publicly available databases, web and grey literature searches, and input from healthcare reimbursement experts. We developed a taxonomy of scheme types by inductively organizing the schemes identified according to the timing, execution, and health outcomes measured in the schemes.Results Our search yielded 34 coverage with evidence development schemes, 10 conditional treatment continuation schemes, and 14 performance-linked reimbursement schemes. The majority of schemes are in Europe and Australia, with an increasing number in Canada and the U.S.Conclusion These schemes have the potential to alter the reimbursement and pricing landscape for medical technology, but significant challenges, including high transaction costs and insufficient information systems, may limit their long-term impact. Future studies regarding experiences and outcomes of implemented schemes are necessary.

Suggested Citation

  • Carlson, Josh J. & Sullivan, Sean D. & Garrison, Louis P. & Neumann, Peter J. & Veenstra, David L., 2010. "Linking payment to health outcomes: A taxonomy and examination of performance-based reimbursement schemes between healthcare payers and manufacturers," Health Policy, Elsevier, vol. 96(3), pages 179-190, August.
    • Handle: RePEc:eee:hepoli:v:96:y:2010:i:3:p:179-190
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    References listed on IDEAS

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    2. John Wlodarczyk & Leslie Cleland & Anne Keogh & Keith McNeil & Kate Perl & Robert Weintraub & Trevor Williams, 2006. "Public Funding of Bosentan for the Treatment of Pulmonary Artery Hypertension in Australia," PharmacoEconomics, Springer, vol. 24(9), pages 903-915, September.
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