A Novel Plan for Health Care: Cutting Costs, Not Raising Them

02/17/2016 | The New York Times
Intermountain Healthcare’s SelectHealth Share is guaranteeing yearly rate increases of one-third to one-half less than what employers typically face. Over the next five years, Intermountain will produce $2 billion in savings by tracking costs and quality of patient care, allowing it to reduce expenses and improve treatments. SelectHealth President and CEO Patricia Richards says the company is experimenting with innovative practices to replace the traditional approach of fee-for-service care. Through the Share program, SelectHealth is testing the idea of locking in rate increases at about 4 percent, which is attractive to employers as coverage becomes a predictable expense.