PWC Publishes P4P Report

If pay-for-performance (P4P) is to succeed, the industry needs an all-payer approach, where providers face the same metrics and incentives for all patients, regardless of their insurance coverage, says a recent report entitled "Keeping Score: A comparison of pay-for-performance programs among health plans," published by PriceWaterhouseCoopers (New York).

Key findings of the report include:

· P4P is viewed as a necessary component of a quality-driven healthcare system, but not the final solution.

· Health plans believe that they must tailor their P4P scorecards for specific needs, leading to a cornucopia of metrics in the market.

· In the commercial sector, physician P4P programs have evolved more fully than hospital programs.

· Transparency of physician performance is still in its infancy.

· Measurement is not enough; P4P payments are too low to significantly change provider behavior.

· Results from P4P are spotty and few plans have set up tracking methods.