Alternative Quality Contract (AQC) Deborah Devaux Senior Vice President, Health Care Services Blue Cross Blue Shield of Massachusetts Blue Cross Blue Shield of Massachusetts 1 Financial Structure of the Alternative Quality Contract Financial structure based on four components: Global Payment Budget • B Basedd on total t t l medical di l expenses • Health status adjusted Margin Opportunity Margin Expansion Expanded Margin Opportunity Inflation P f Performance INITIAL GLOBAL PAYMENT LEVEL • Initial global payment includes inefficiencies Performance Incentive • Up to 10% of total medical expense Inflation • Derived from general inflation Year 1 Blue Cross Blue Shield of Massachusetts Year 2 Year 3 Year 4 Year 5 2 Performance Measure Set Hospital Quality and Safety Clinical process measures • • • • Acute MI Heart Failure care Pneumonia care Surgical care Clinical outcomes measures • Hospital-acquired infections • Complications after major surgery (AMI, PE/DVT, Pneumonia) • Obstetric trauma Patient Care Experiences • Communication (MD, nursing staff) • Responsiveness • Discharge support/planning Ambulatory Care Quality Clinical process measures • • • • • • Depression Diabetes Cardiovascular Disease Cancer Screening Pediatric: Appropriate Testing / Treatment P di t i Well Pediatric: W ll Child Visits Vi it Clinical outcomes measures • Diabetes (HbA1c in poor control, LDL-C control, blood pressure control) • Hypertension (blood pressure control) • Cardiovascular Disease (blood pressure control LDL control, LDL-C C control) Patient Care Experiences • Quality of clinical interactions • Integration I t ti off care • Access to care Blue Cross Blue Shield of Massachusetts 3 Performance Achievement Model An aggregate performance score is calculated based on the provider’s hospital and ambulatory quality to determine a percentage payout Performance Payment Model 10% 10 0% 10.0% 9.0% % Payout 8% 6% 5.0% 4% 3.0% 2% 2.0% 0% 1.0 2.0 3.0 4.0 5.0 Performance Score Example: Blue Cross Blue Shield of Massachusetts An aggregate score of 33.00 would yield a 5% payout payout, which if applied to a global payment of $300 PMPM, would yield an additional $15 PMPM for the provider. 4