Overview

Government spending accounts for nearly one-half of the nation’s healthcare expenditures, and Medicare policy decisions have widespread impact on private sector medical coverage and payment. Rising health care spending is driving the transformation toward evidence-based medicine that rewards value and improved health outcomes. Medicare and commercial payers are now placing a greater emphasis on new payment models such as bundled payment and accountable care organizations (ACOs). In order to commercialize new technologies, companies must develop clinical evidence to support timely, widespread coverage and payment decisions. Equally important, business leaders must consider how new payment models can rapidly change provider incentives.

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