Healthcare Reform: Employers and Narrow Networks Could Drive Cost-Effective Patient Outcomes

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Employers and Medicare trustees could come together and change the healthcare industry, leading to healthcare reform, according to Luke Hansen, M.D., M.H.S., and chief medical officer of Arcadia, a healthcare data analytics company.

Luke Hansen, M.D., M.H.S., chief medical officer of Arcadia, a healthcare data analytics company, said that healthcare reform won’t be easy, specifically when it comes to stronger incentives for value-based care.

Luke Hansen, M.D., M.H.S.

Luke Hansen, M.D., M.H.S.

“There are many people in their 40s, 50s, 60s—commercially insured with chronic disease—and their employers are holding the bag, and their employers have a fiduciary responsibility to manage those lives optimally,” Hansen said. “I don't think that we've totally taken advantage of that opportunity. If a large enough cohort of employers came together, they could move the industry, and they could by delegating through narrow networks to high performance provider organizations.”

He continued by explaining that change requires risk.

“You have to be willing to take some risks with constituencies,” Hansen said during a video interview with Managed Healthcare Executive. “I think it starts with attribution and responsibility for cost, which isn’t present in the majority of people administering healthcare.”

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