Facilitators and Barriers to Payment Reform

Fee-for-service, the predominant method of paying for health care in the United States, is an unsustainable payment approach that rewards volume, resulting in an increase in the number of health care services that are provided, regardless of the outcome of the service. Many believe this form of payment has contributed greatly to the ever-increasing costs of health care. Payment reform, which entails moving away from the fee-for-service system, is regarded as a promising strategy to lower the cost and improve the quality of the U.S. health care system. Payment reform is not an end itself, but rather a means to spark fundamental changes in health care delivery.