Episode Overview
LISTEN TO THE EPISODE:
Daniel Marino:
Welcome to Value-Based Care Insights, I am your host Daniel Marino. Well we have a special episode today where we are going to cover what we see as the three most popular episodes of this past year that cover a lot of the major topics I think that we've all been struggling with. We've identified these episodes really coming from you our listeners based on the number of impressions the feedback that we received directly through you know to anyone of us comments and so forth, and just some suggestion in terms in terms of additional topics you'd like to talk about. Our first episode that I'd like to share addresses a topic that I think we've all works so it's kind of been top of mind for the industry and that's really around Medicare advantage. For some organizations Medicare advantage has done really well other organizations it's been a challenge. Our first episode i'd like to share i'm from last spring and has done a great job of working with her Medicare Advantage payers as well as her providers creating a real strong collaboration that has driven a lot of success for her organization. Let's listen to parts of that episode.
Sarah, as I mentioned you know it's no secret many organizations have really struggled with Medicare Advantage. I think from a from a couple of perspectives many of them have seen a lot of the administrative challenges associated with the level of reimbursement from Medicare or Medicare Advantage, there's challenges with getting recertifications there's increased denials there's administrative costs that that have been associated with managing the relationship. What are some of the challenges that that you've experienced with that you've seen as you've worked through a lot of your MA contracts and your MA relationships with your payers?
Sarah Hartley:
I would say probably our biggest challenge is taking on that administrative burden and getting the physician buying in that because there is a lot of administrative burden back from MA plans in terms of data the amount of data that we receive. The requirements to meet all of the measures and so the challenge is how do we make it easy enough for our physicians to address it with their patients and meet the needs of our payers as well.
Daniel Marino:
Yeah I could see that and you know the reimbursement when you look at the economics the reimbursement is at Medicare rates, right? In some cases they look below Medicare rates or associated with the MAM contracts. But the key to it is as the performance of the plan improves as the star ratings of the plans improve then there's associate then there's incentives that are associated with that right? So if you're if you're looking at a four and a half star rated plan that incentive on top of Medicare reimbursement is higher than a than a 3 ½. But it does not take the place I think of the administrative services right that are required. Are you seeing when you talk to some of your colleagues are you seeing that an increase in a lot of them say denials related to some of these pre certs and other activities that you normally wouldn't get if you were in straight Medicare?
Sarah Hartley:
Yes we see a lot of denials and research the increased scrutiny with our DME providers increased scrutiny with the annual wellness visits. There are quite a bit of denials coming through that we just don't know how to manage yeah especially in the new space.
Daniel Marino:
Well absolutely I think that's where a lot of folks are looking at the other area that you touched on a little bit it's the performance algorithms. So the other challenge that we have Medicare Advantage is not only are we faced with potentially higher denials and reduced reimbursement but there's also performance outcomes that we have to hit as an organization. How have you been able to overcome that challenge?
Sarah Hartley:
I think the key is to have a holistic approach we have to get out of working in silos in healthcare. The goal is to keep our patients out of the hospital and we have to work with our hospital providers and our outpatient providers to look at the patient as a whole and treat them as a whole and so getting that data from our payers can really help us manage that. So getting the subject matter experts at the table that can speak to each piece of that movement for the patient through the system
Daniel Marino:
Has getting the data from the payers you know you have your own data right and you're looking at your billing data you're looking at your quality data I'm sure you know you're fairly you're pretty sophisticated so you're looking at a lot of the reports to identify how you can kind of close the gaps and so forth. But the data from the payer is really important. Have you been able to create that alignment around sharing of that data with your payers?
Sarah Hartley:
Not yet we are building a platform to do so the challenge is that our internal data just looked at our claims. A patient can go anywhere and so when you look at them as a whole patient they're wraps or their quality measures under that contract they can go anywhere in the patient needs to be managed appropriately. So as we align and we can see the data align we get in under one platform then we can see the pictures the I'm sorry the patients whole story regardless of where they go. So ingesting that data is the path that we're on right now to paint that picture of the whole story
Daniel Marino:
Yeah so it's really the claims data right? Because as you said when patients go anywhere and you have your billing data so you know what's occurring within your organization but you don't necessarily know what you know you're in Chicago so you may have a lot of folks that go down to Florida right? The snowbirds are the Arizona correct if you're responsible for them you need to get that claims data and really begin to understand what's occurring is they do get the care elsewhere. How about the vastness of the data? I mean I one of the one of my clients I was talking to we were helping with some modeling of a Medicare Advantage contract. And the amount of data that they have both internally in the organization and then they did get sample data from the payer pulling that together there was enormous. Is the vastness of the data typically an issue?
Sarah Hartley:
It's a major issue especially if you think about all of the plans that you contract with. Everybody has a different way of looking at the data they have different terms for their data they have different processes different platforms and then when you get into managing all of the patients or all of the beneficiaries in those plans it can be enormous, and it's overwhelming. So the biggest question the most important question to me is what are we going to do with it is it actionable data.
Daniel Marino:
The second topic that we've all been working through is really balancing fee for service versus the advancement of value-based care and we have seen value based care increase in terms of the number of contracts in terms of the number of revenue attributed revenue to that based contracts and so forth. One of the areas that we've heard from all of you and as we've worked with our clients around the country an important topic is around the infrastructure, and in particular air management. Well late last spring early summer I invited Dr. Riya Pulicharam and Kevin Zhao on the program to share their solutions around care management. And what struck me about this episode was how Dr. Riya really highlighted the need to have performance reports of the care managers but making sure that it's integrated well with the clinical pathways that help support positions proactively, as well as then supporting the quality of care delivering to patients. Let's listen to a little bit of that episode.
So this this concept of prospective care management is really gaining a lot of attention especially as we start to work with organizations or as we see organizations taking on more full risk global risk contracts. Well I'm excited today to have two extremely knowledgeable guests talk about this concept of prospective care management. Our first guest is Dr. Riya Pulicharam. She's a national expert in population health, has over 25 years of experience as a physician researcher and a national medical director. She's done a lot of research around outcomes cost of care models incorporating that into the right elements to drive efficient population health. My second guest as well is Kevin Zhao. He's co-founder and CEO of Caret Health. Caret Health is a platform that is really looking at a lot of different data and artificial intelligence to drive new care models and new care management. Dr. Riya, Kevin welcome to the program!
Dr. Riya:
Thank you Dan
Kevin Zhoa:
Thank you for having us, appreciate it.
Daniel Marino:
So Dr. Riya, maybe we could start with you. Given your experience and you know certainly have had a lot over your over your career what do you see as some of the key challenges in the traditional care management structure that that we often see today?
Dr. Riya:
Yes so you know I think we should there's lots of challenges in the care management processes and structure today. It hasn't I mean it was still the same when I first started 25 years ago. It hasn't changed much over the years. One of the main challenges that is it's more metrics driven not outcomes driven. When I say metrics it's important metrics is important because that's how they're measured right the care manager so I'm not saying it should not be metrics driven, but it has to be equally and more outcomes driven. It also depends on the organization right? Some organizations are more metrics driven and some organizations are shooting for outcomes driven as well
Daniel Marino:
Let me dive into that for a second because you bring up a really interesting point so when we think about diabetes and let's say you have a patient who is a high risk diabetic and we have let's say a metric to measure their A1C level and high risk let's say we consider it you know they have a a 7.5 for instance. So I think what you're saying is oftentimes care management is really building the interventions around that metrics of 7.5 instead of thinking about what are the care management solutions that would that would almost drive the outcomes of reducing the high risk diabetic to maybe a 6.9 if you will?
Dr. Riya:
Yes but I was also focusing more on the metrics of how its traditionally care management processes are set up, like high touch. How many calls did you make? So reducing hemoglobin A1C would be an outcome sure right? So if you made your calls as a care manager you've met your target who are the patients that you need to call so they're focusing on that and that's how they staff right?
Daniel Marino:
So that's really the outcome what the care managers are doing that needs to be that needs to be tracked.
Dr. Riya:
Yeah what is the result right? So of course when I'm the manager leading a team of care managers I do want to set the metrics because I can measure how many calls they had to make. But at the end of the day yeah it is also the outcomes of their call.
Daniel Marino:
Well it's the it's the efficiency absolutely. So Kevin let me turn to you for a second. Historically it's been very difficult to measure the let's say the productivity of care managers, and I think especially to track it how Dr. Riya is describing thinking about not only what they're doing, but what's the what are they producing out of the work that that they are creating within the care management platform. What's some of the data that you begin to look at to really to drive that level of outcome?
Kevin Zhoa:
Yeah I think there are a lot of existing points solutions today that track I guess the metrics that Dr. Riya was talking about, so how many calls you made how many minutes you spent etcetera. And these platforms tend to do well in more of a fee for service type environment where the goal is to rack up you know I think generally as many transactions as possible and bill insurance. Within their value based care space, which is where I focus on, these types of you know transactional tracking methods work less well and what we have to do then is far out ways to translate some of these you know transactional tracking methods into more of these outcomes you know based you know assessments. One way to do this for example is let's say if you have an entire population of patients, you want to be able to identify you know one for each you know cohort of patients, what's their likelihood of receptiveness to various interventions or outreach. You know if you reach out to the patient for example how likely is that patients actually follow through with what you're asking them the patient to do? The second is for example you know the amount of effort you know that each intervention outreach your task is going to take. So for example if you want a patient to let's say you complete a colonoscopy for example or you'll get a test done you know how much effort it's going to take to reach out the patient set those appointments and follow up with them. And then the last one is the actual outcomes ROI of that you know you know task or that this intervention effort so if a patient does go through with their colonoscopy mammogram or etc you know what's that ROI for you as a value based organization. I think measuring the overall effectiveness productivity is a factor that it's a formula you have to multiply all these together, you know in terms of knowing that your team you know has very limited resources let's say I have 1000 tasks like outstanding gaps you'll only be able to handle let's say 100 per week or 100 per month or whatever the bandwidth is. How do you make sure that the highest ROI you know overall tests are done you know first before trying to get to the rest.
Daniel Marino:
And that's a great point because I'll tell you many CFO's they understand what the costs are of investing in care management. What it's difficult to track is the ROI. And I think if you're going to start with that, Dr. Riya, it seems to me as Kevin was talking about it and describing you know those three elements the care pathway the care protocol the clinical pathway care protocols that are put in place are critical right? I mean I think that's the source of truth.
Dr. Riya:
Yes so care pathways you know very important as they assist us in clinical decision making right? And they also provide a recommended course of action. As these patients unfortunately especially the most you know expensive patients right? The high risk patients they don't come with just one chronic condition they come with multiple chronic conditions. And when you have multiple chronic conditions you really need to balance. And you also need to you know ordinate this care pathway with social determinant issues. So if they're tied together then it becomes a really good protocol and if that is not automated then it's very difficult by any care manager if their data resides you know in a siloed manner in excel spreadsheets and it's not it's not all tied in appropriately. Then what happens is there is there are these blind spots you're not aware of some things you forget some things and at the end of the day it just becomes more complex. And more confusing and then you don't get to the right data. So care pathways are only as good as how you position them and how you automate them and how accessible it is for you on every patient.
Daniel Marino:
A third topic of interest this past year was the advancement of clinical service lines. Everything from cardiovascular services surgical services to even some of the medical specialties. A lot of organizations were considering their strategy to advance their service lines. One area that we continue to see as a challenge is supporting surgical services and the OR activities of hospital and in particular overcoming the anesthesia shortages that we see around the country. Last summer I invited Dr. Dave Lebec and my colleague Tim Hanners to the program we spend some time talking about those challenges of the anesthesia as well as some solutions that providers should consider as they start to enhance their surgical services and create more profitability for their organization. Let's listen to a little bit of that episode.
Some of the real challenges that health care providers are struggling with as they're thinking about maybe either realigning some anesthesia services or just responding to some of the surgical needs that they have within their community
Tim Hanners:
Yeah so you hit you know the hospital administrators CEO's and in particular CFO's are really struggling right now they're very frustrated. Because you're right the traditionally the OR has been a real driver for financial performance for everything. And there's some things that are a bit out of their control because the payers of course the financial margins of the OR shrink and our shrinking greatly and then there's some other things factors where a lot of their OR business has gone to ASCs, not and that's of course been orthopedic but a lot of other things are moving to the ASC procedures and surgeries
Daniel Marino:
Right so we're seeing that shift inside the service. Dave I can't help but think that this puts probably the anesthesiologists in a real difficult position right I mean to one extent it's always great to be needed and yet you know and I'm sure they can get pretty much roles anywhere but they have to be I would think certainly professionally challenged on really meeting the needs of the provider organization and even there's their surgical counterparts.
Dr. Dave Lebec:
Yeah so first off thanks Dan for inviting me for this this great topic today and yes you're correct in in the post pandemic world we've seen a shift in how providers both perform their duties anesthesiologists as well as CRNAs roles expanding roles changing we've also seen a shift in the employment models which we're going to talk about as well. And the primary kind of stressor we see is that anesthesiologists still want to take care of their patients work with their surgical colleagues, yet sometimes they do feel they're caught in the middle of a battle between say a national service provider company as well as the hospital. And they feel that sometimes this creates a barrier and then providing the care they need for the patients that they see each day. And importantly I think we mentioned already by Tim the expansion into this ambulatory surgery centers as well. Prior to the pandemic surgery centers were often taking care of lower acuity patients with a small diverse not so diverse set of surgical procedures but now we're seeing the rapid expansion of surgery centers some with 24 to 40 hours stays doing more complex procedures that require different skill sets. So we're seeing we're seeing these surgery centers expanding with a higher demand or higher sets of skill sets and yet a national shortage of anesthesia providers both CRNA's as well as anesthesiologists. So as you can see there is a production pressure as well as a service pressure that's placed on all the providers.
Daniel Marino:
But you made one interesting comment Dave that I want to dive into a little bit. So are you starting to see more of a trend towards employment and if so why is that the case? Is it is it because of those economic pressures? Or do hospitals feel like they could I don't know create a better relationship with their anesthesiologists and align them with the surgical providers? What's the big driver of this?
Dr. Dave Lebec:
Great question Dan and what we're seeing is a shift of more towards the employed model by the hospitals. Traditionally this has not been a very appealing model to anesthesiologists or CNA's in the past prior to the pandemic. As hospitals often would only be able to provide certain compensation packages that were very stringent very strict we're not very dynamic reflective of the types of cases each provider was doing as well as the demands placed on those providers. Post pandemic when we saw a lot of the private anesthesia practices become stressed financially as well as operationally being unable to support financially their own practice as well as recruit providers with the national shortage we saw those private groups go under. And that created a market for both the PRN or the per diem providers independent contractors which we're seeing a large spread of that throughout the northeast especially. As well as also having the providers move towards the hospital models in the hospital models have become more transparent have been able to reflect incentive based compensation which is a key for anesthesia employment going forward, and the hospitals being able to adapt their models to attract these providers notwithstanding the new legislation out there for not competes, but also allow the anesthesia providers if they do have a non-compete it's now not geographically widespread is with a national company. But more focused on just a hospital in most cases the hospitals don't even have enough compete or non solicitation clause in their contracts. So it allows the providers to maintain their place of practice or their families have grown up with the hospitals insurgents they have worked with throughout their careers with less stress more transparency and more importantly compensation models are aligned with what they want to do with the work life balance as well as being rewarded for the work they're doing clinically as well as engagement with the hospitals.
Daniel Marino:
Well and I'm sure it allows the hospitals to have more influence as to what's occurring with their providers and especially if you have all of these dynamics around shortage and recruitment and so forth. You know the hospitals may not be able to solve the problem but at least they can they can influence it. Tim when you're when you're having conversations with your CFO counterparts or the administrative counterparts what are they seeing as some of their economic opportunities related to employment?
Tim Hanners:
You know the well first of all they're also sort of struggling with that right because today's point they haven't done this with anesthesia the staffing models are different and they're really scratching their heads on what is the right way to do this what's the right structure to have for my staffing models and anesthesia, I don't know if how many MD's I need compared to CNA's or even in some states AA's. And so they're really trying to figure out where is my financial opportunity I can't I know I can't sustain what's what we're doing these subsidies continue to increase but I I don't know how to restructure it and what are my options for employment? You know Dave can speak to some various different models they it's not always with anesthesia just employ or not to employ or to contract but there's a lot of you know variables there. They can employ Sierra and a but maybe they aren't my state regulation allowed to employ the MD's.
Daniel Marino:
Three great episodes I hope you enjoyed that as much as I did. I want to thank all of you our listeners for tuning in and also a special thanks to all of our guests. If down the road you have any questions for one additional information or have an idea around future topics or just want to connect, please reach out to me and Dmarino@luminahp.com you could also find me on LinkedIn by searching Daniel J Marino. Looking forward to many great episodes in 2025. And again as always looking forward to your comments as well. I want to thank everyone for listening and tuning in until our next insight I am Daniel Marino bringing you 30 minutes to value to your day take care.