'Bundled payment' experiment by Bedford Surgery Center, Harvard-Pilgrim insurance - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
May 23, 2014 Newswires
Share
Share
Post
Email

‘Bundled payment’ experiment by Bedford Surgery Center, Harvard-Pilgrim insurance

David Brooks, The Telegraph, Nashua, N.H.
By David Brooks, The Telegraph, Nashua, N.H.
McClatchy-Tribune Information Services

May 23--BEDFORD -- You wouldn't buy a car if you didn't know the cost until after you got home with it, so why do it with a colonoscopy?

That's one of the arguments for a pilot program between Bedford Ambulatory Surgery Center and Harvard-Pilgrim Healthcare, in which routine colonoscopies are covered by a fixed "bundled payment" decided in advance that covers all parties, including surgeons, anesthesiologists and other clinicians. This differs from the usual practice of totalling up fees and costs from the various services involved to create an after-the-fact bill.

"I think more and more bundled programs will be coming down the way -- it simplifies the system, reduces confusion, it's all up front," said Chris Henderson, Bedford Ambulatory Surgery Center's director of business strategy.

The pilot program, available to Harvard-Pilgrim customers, is prodded in part by changes in the health care system because of the Affordable Care Act and other initiatives. One result is more transparency about costs and thus cost shopping by patients, particularly for optional procedures like a routine colonoscopy.

"When physicians have a conversation with the patient and the patient asks for pricing -- that's easy," he said. "There are transparency initiatives underway by many of the health plans because more patients are asking how much is this going to cost me?"

The program has more than one bundle charge, based on various patient risk factors, but the actual charge for the colonoscopies isn't being made public to non-patients at this point.

From Harvard Pilgrim's point of view, the program has to potential to cut costs by giving health-care providers incentives, and ways, to improve communication and outcomes, because more work won't automatically translate into more income.

"Everybody has the information they need, so there's not multiple tests ordered for the same thing. Everybody on the team (knows) we need to live within this budget; there isn't an endless writing of checks,." said William Brewster, New Hampshire medical director for Harvard Pilgrim, and a practicing primary care physician. "We see it as a way to get everybody to have some skin in the game."

The idea of a set payment for a medical procedure, from insurers or other payers, is hardly new, but the concept has been dogged by concerns that it leads to reduced care or to the shifting of actual costs onto other patients whose payments aren't limited. The hope is that well-designed programs of bundled payments will avoid problems associated with more blunt pay-per-patient systems called capitation.

Harvard-Pilgrim hopes that its Bedford Surgery Center pilot, which has handled 44 patients as of earlier this year, will hone methods and systems to maintain quality while cutting actual costs, not just shifting them.

They started the pilot with screening colonoscopies -- the unpleasant but not dangerous process in which a camera on a flexible tube, known as an endoscope, is inserted into an anesthetized patient to examine the colon for signs of cancer -- because it is well-understood with relatively few complications.

Brewster said maintaining quality is easier because of the existence of quantifiable benchmarks for colonoscopies, such as reporting on polyps, presence of anesthesiologists when necessary, and detailed observation of the entire colon.

Just as importantly, he said, it establishes a framework in which all the parties communicate and can share patient records.

Bedford Ambulatory Surgery Center is an independent facility opened in 1993 and owned by its surgeons, although it has a relationship with Catholic Medical Center. It performs a wide variety of surgeries, including orthopedic, pediatric and podiatric, in which the patient can return home within 23 hours -- hence "ambulatory" in the title.

David Brooks can be reached at 594-6531 or dbrooks@nashua telegraph.com. Also, follow Brooks on Twitter (@GraniteGeek).

___

(c)2014 The Telegraph (Nashua, N.H.)

Visit The Telegraph (Nashua, N.H.) at www.nashuatelegraph.com

Distributed by MCT Information Services

Wordcount:  637

Advisor News

  • Advisors await SEC decision on Vanguard fair fund distribution
  • What to do when adult children become the client
  • Judge rules insurers not liable for Newport Group’s AME Church pension lawsuit
  • Why vacation homes are becoming a major blind spot for advisors
  • The rise of the ‘gray divorce’ insurance client
More Advisor News

Annuity News

  • Best’s Market Segment Report: Global Life/Annuity Reinsurers Remained Poised for Steady Growth
  • When technology becomes easy to rent, what still separates life and annuity carriers?
  • Legacy Marketing Group® and Malibu Life USA Announce Distribution Partnership for New Fixed Indexed Annuity Platform
  • Empower Annuity Insurance Company of America Trademark Application for “EMPOWER WHAT’S NEXT” Filed: Empower Annuity Insurance Company of America
  • Industry pushes back on linking ‘financial strength’ to annuity illustrations
More Annuity News

Health/Employee Benefits News

  • ACA behind mergers, higher prices
  • Analysts warn of insolvency if New Mexico maintains health insurance subsidies
  • The cost of ignoring long-term care
  • Reports on Geriatrics and Gerontology from National Hospital of the Faroe Islands Provide New Insights (10-year Cognitive Change In the Faroese Septuagenarian Cohort and Impact of Sociodemographic, Lifestyle, and Health Factors): Aging Research – Geriatrics and Gerontology
  • Department of Anesthesiology Researchers Have Provided New Data on Opioid Crisis (Insurance Noncoverage of Interventional Pain Procedures: Paving the Road Toward the Second Prescription Opioid Crisis): Opioids – Opioid Crisis
Sponsor
More Health/Employee Benefits News

Life Insurance News

  • AM Best Affirms Credit Ratings of Life Insurance Company Centras Life JSC
  • AM Best Withdraws Credit Ratings of New Providence Life Insurance Company
  • When technology becomes easy to rent, what still separates life and annuity carriers?
  • St. Paul & Minnesota Foundation invests $15M to help revive downtown St. Paul
  • Legacy Marketing Group® and Malibu Life USA Announce Distribution Partnership for New Fixed Indexed Annuity Platform
More Life Insurance News

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Press Releases

  • Classic Car Insurer OpenRoad Insurance Expands to 40 U.S. States in Two Years
  • How Aspire General Turned an Early Technology Bet Into Claims Automation at Scale with Kyber
  • Adjusto launches AI-Native contents claims services powered by its technology platform
  • URL Insurance Group Celebrates 40 Years of Service, Growth, and Industry Leadership
  • MassMutual Ascend Surpasses $2 Billion in Lifetime Advisory Annuity Sales, Reflecting Continued Momentum in RIA Channel
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.
Insurance News | InsuranceNewsNet