The return of the PHO?
Effective Apr 4, 2012
Published Jun 1, 2012
One common complaint about the transition from fee-for-service reimbursement to value-based schemes is that such groundbreaking changes cannot be done overnight and must be phased in. That's a problem for healthcare organizations that seek to be forward-thinking yet must continue to exist under current rules. A common refrain is that senior leaders feel as unsettled as a person with one foot on the boat and the other foot on the dock.
But there may be a way to bridge that transition through vehicles such as the physician hospital organization (PHO), which many hospitals and health systems formed under capitation more than a decade ago-and which many subsequently discarded as HMOs gave way to preferred provider organizations and as government payers continued to use fee-for-service reimbursement. However, the PHO, or at least something like it, is making a comeback as payers and the government make slow progress toward accountable care.
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