Challenges in Evaluating Bundled Payments: BPCI and beyond Daver C. - - PowerPoint PPT Presentation

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Challenges in Evaluating Bundled Payments: BPCI and beyond Daver C. - - PowerPoint PPT Presentation

Challenges in Evaluating Bundled Payments: BPCI and beyond Daver C. Kahvecioglu, CMMI June 25, 2017 1 Outline of Presentation Overview of BPCI (Models 2-4) Evaluation Intended consequences of bundled payments Lower payments and improve


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Challenges in Evaluating Bundled Payments: BPCI and beyond

Daver C. Kahvecioglu, CMMI

June 25, 2017

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 Overview of BPCI (Models 2-4) Evaluation  Intended consequences of bundled payments

Lower payments and improve quality?

Internal validity challenges

External validity challenges

 Unintended consequences of bundled payments  Additional measurement challenges  Conclusions

Outline of Presentation

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 Possibly the largest evaluation of bundled payments both in

scope and size

 Flexibility  Extremely large dimensionality (bundle of

bundles)

3 Models X 6 Episode Initiator Types X 48 clinical episodes X 3 bundle lengths X rolling entry and exit

Separate matched comparison groups needed for many

  • f these combinations

New comparison groups needed in each quarter due to rolling entry and exit

Overview of BPCI Models 2-4 Evaluation

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 Minimize selection bias in estimated impacts on cost and

quality

At the participant level

At the beneficiary/episode level

 BPCI evaluation

Matched comparison episode initiators

Difference-in-differences estimation

Regression-based risk adjustment

 Absent randomization, no guarantee that unobserved

differences are not biasing the results

Challenges: Internal Validity

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 How generalizable are the results for the U.S. at large?  Generally an issue for all voluntary models  Will want to estimate impacts on the subgroups of interest

such as Episode Initiators with low use of post-acute care in the baseline

if sufficient sample size

adds to the dimensionality

Challenges: External Validity

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 Unintended consequences of bundled payments

Shifts in patient mix?

Shifts in costs?

Unwarranted increase in volume?

Decline in quality?

 Need to define and track many metrics – adds to the

dimensionality

 Arbitrage: Possibility of exploiting imperfect target prices

Unintended Consequences of Bundled Payments

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 Adequate sample size

difficulty reliably measuring important characteristics

 Availability of data

functional assessment data not available for all beneficiaries measured at the same time after discharge

Beneficiary survey partially remedies this, but still no baseline data on the beneficiary

Measurement Challenges

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 For credible and reassuring evidence on bundled payments,

it is important to

Identify adequate comparison groups (Episode Initiators) for voluntary models

Adjust for the heterogeneity of patients even within specific clinical episodes

Ensure there are no unintended consequences

 Generalizability to the U.S. system at large will be limited

for voluntary models

Conclusions