DIGITAL HEALTH BRIEFING: UnitedHealthcare demonstrates benefit of value-based care - Walmart adds employee health tools - CVS partners with chatbot

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UNITEDHEALTHCARE DEMONSTRATES BENEFIT OF VALUE-BASED CARE: UnitedHealthcare announced results from its value-based care (VBC) program, the Spine and Joint Solution. The US insurer saw a 22% decline in readmission rates and 17% fewer complications for joint replacement surgeries. VBC is a reimbursement model in which providers are paid based on positive patient outcomes rather than the number of services the patient uses (fee-for-service). The program led to average savings of $18,000 per operation for participating employers and $3,000 in out-of-pocket expenses per procedure.

The Spine and Joint Solution uses a bundled payment method, whereby all the costs associated with a procedure - including fees for physicians, surgeons, MRI scans, and outpatient care - are "bundled" into a single price. UnitedHealthcare also announced that the program expanded to 46 participating healthcare facilities, with more than 115 employers enrolled.

For health systems, the results demonstrate the revenue opportunity of VBC, which could further spur provider adoption. VBC models like bundled payments have a clear benefit for insurers and employers, since they encourage fewer medical costs for a better outcome. For providers, however, which are traditionally paid more when they prescribe additional services, the opportunity is less apparent. Programs like the Spine and Joint Solution can support the shift from fee-for-service to VBC, UnitedHealthcare CMO Dr. Sam Ho told Business Insider Intelligence.

But the program's results don't necessarily indicate that VBC models will become the norm anytime soon. The adoption of the new reimbursement model is largely contingent upon demand for VBC services aligning with payers, providers, and employers, which differs between states and localities. For example, in one state, most employers might purchase broad access, meaning there's little demand for VBC. In turn, providers are less willing to invest in the infrastructure that supports VBC programs.

Moreover, varied durations of medical procedures and illnesses will necessitate a hybrid approach to reimbursement for the foreseeable future. Some procedures, like hip replacement surgery, have a clear end, making the outcome easier to assess within the VBC paradigm. Others, such as chronic illnesses, are ongoing, making it challenging to define valued care.

WALMART PARTNERS WITH HEALTH PLATFORM TO ENGAGE WORKFORCE: Walmart is partnering with mobile health management platform Sharecare to improve access to care and well-being for the retailer's employees. The Sharecare portal provides consumers with a centralized hub for their health information and tools, such as accessing health data, finding an evidence-based program, or connecting to a health professional. Improving employee access to healthcare tools and programs could incentivize employees to make better health decisions. That, in turn, could fuel a healthier workforce, improve productivity, and lower claims costs. The Sharecare platform also allows providers, employers, and health plans to more effectively manage consumers' and patients' health outcomes by providing them with health tools and programs they're interested in. Although there's considerable demand for digital health solutions among US employees, there's a chasm between the solutions employers offer and the solutions employees desire, according to health IT company Castlight Health's State of Digital Health: 2018 Annual Report. While 77% of the employers surveyed offer their workers a smoking cessation service, the most sought-after health goal for employees is weight loss, for example. Walmart likely hopes that by partnering with Sharecare, it will be better able to offer its employees and their families more relevant and personalized healthcare experiences.

E-PRESCRIBER SURESCRIPTS FILLS ALMOST 2 BILLION PRESCRIPTIONS: Surescripts, an e-prescription company, filled 1.7 billion prescriptions in 2017, a 9% increase from 2016, according to the company's annual progress report. The report also detailed increases in accuracy and in the total share of prescriptions delivered electronically to 77%, up from 73% in 2016. Surescripts' report demonstrates its dominant position within the e-prescription market and indicates strong growth potential. Its network now includes 1.5 million healthcare professionals, with access to nearly 75% of the US population. E-prescription is a rapidly growing segment of the healthcare market, fueled by the need to increase the delivery of consumers' medication history and pharmacy benefits between payers and providers. The global e-prescription market is projected to grow at an annualized rate of 21.5% between 2017 and 2025 to surpass $3 billion. Moreover, e-prescription reduces prescription errors and gives physicians a complete picture of a patient's medical history. It can also help with medication adherence, which can stem the nearly $300 billion that poor medication adherence costs the US healthcare system each year. As patients continue to demand a better consumer experience from their healthcare professionals, providers will increasingly turn to services that ease access to health data and streamline patient visits.

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CVS PARTNERS WITH CHATBOT TO DRIVE MINUTECLINIC TURNOUT: CVS is joining forces with Buoy Health to drive attendance at its MinuteClinics, according to MobiHealthNews. Buoy is an interactive app that asks users about their symptoms, and then draws on medical data and AI to suggest diagnoses and clinics for care. After filling out the questionnaire, Buoy users who need to visit a doctor will be directed to a MinuteClinic and reserve a place in line at the site. Aside from funneling potential clients to MinuteClinic facilities, Buoy's diagnostic app can also help CVS avoid its clinics being inundated with people making unnecessary doctor visits. The partnership is part of Buoy Health's growth strategy, which will come from licensing its tools to health systems, insurers, and employers, Buoy Health CEO Andrew Le said. MinuteClinic is one of the largest and fastest-growing retail clinics in the US, it hopes to build on this momentum by adding Buoy's projected 25-50 million site visitors.

IN OTHER NEWS:

• Cerner and SAP are teaming up to deliver more affordable cloud-based electronic health record (EHR) solutions to Europe. Cerner lags behind EHR vendors Epic and InterSystems abroad and hopes to capture more of the international market by developing a cheaper offering than competitors.
• The House Committee on Veteran's Affairs (VA) voted to pass legislation easing telemedicine regulation and increasing data sharing. The VA also announced it will decide by May 28 whether it will go through with its pending $16 billion contract with EHR vendor Cerner.
• Adobe, Microsoft, and Change Healthcare announced they're collaborating on new patient-engagement tools.