Managing Health Care Costs and Quality

About 95% of the expenses for health care payers are directly linked to the cost of care. Improving patient outcomes is one of the fastest ways to reduce payer expenses.

To improve patient outcomes, winning health care payers are forging partnerships with providers to reduce practice variation, using big data to help standardize practices and procurement across their networks, and engaging in shared decision-making with patients. Payers can also help providers do a better job of managing chronic care patients, who account for a disproportionate share of health care expenses. The mandate for payers and providers alike is clear: secure better outcomes at lower cost.

Health care payers can significantly reduce health care costs by encouraging providers to focus on prevention, take a more collaborative approach to discussing treatment options with patients, and streamline how they deliver care.

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Managing Health Care Costs and Quality