The Healthcare Model Of The American Healthcare System

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Seven years ago, the Social Security Advisory Board issued a dire warning: “The American Healthcare model is not financially sustainable and failure to fundamentally change how healthcare is paid for and delivered will cripple the U.S. economy and destroy the dreams of millions.” When the advisory board sounded this alarm, healthcare spending in the United States was at 2.5 trillion, almost double what it was 10 years earlier. Despite the warning, healthcare fundamentalists did not change: Consumers wanted as much as their plans would pay for while physicians and hospitals continued to get paid based on the volume of procedures performed, which resulted in costs continuing to rise. Experts now project that at current rates, and given the aging population, spending on healthcare will reach a crippling 4.8 trillion by 2021. Pressure is mounting to change the system before it collapses. This pressure is coming from those who fund the healthcare …show more content…

Value transformation is all about increasing the quality of care that is delivered to the patient at a decreased price. Sounds like a pretty simple equation, but it is drastically different than the antiquated system of today that rewards uncoordinated and fragmented care. Instead of focusing their attention on curing people after they get sick, healthcare systems and payers are beginning to shift their attention towards wellness and prevention of disease. For example, instead of treating people after they develop diabetes, providers are working to identify pre-diabetics and helping them to avoid becoming diabetic through focused care, education, diet and exercise. Population heath will require organizations to have robust programs to help manage chronic disease in addition to providing comprehensive wellness, which in turn will result in a healthier

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