30 Aug 2022

109

The Benefits and Drawbacks of Pay for Performance in Health Care

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Academic level: College

Paper type: Essay (Any Type)

Words: 207

Pages: 1

Downloads: 0

The US is moving to pay for performance for eligible providers because it helps to eliminate the various bad incentives existing in the current healthcare system. It eliminates the motivation to carry out some unnecessary tests and hospitalize people who do not need hospitalization. Another reason why eligible providers are paid for performance is to improve the quality of care provided. Evidence reveals that physicians, who are paid for good performance, deliver appropriate services to patients leading to existence of very few cases of avoidable complications. High quality services offered helps to prevent readmission of patients after undergoing a surgical procedure as well as the number of visits to emergency departments or hospitalization among patients with chronic illness. This means that if a patient undergoes readmission or long stays in hospitals, then the doctor is not given bonus pay, which hinders misuse of resources and avoid complications (De Brantes & Woolhandler, 2013). Therefore, rewarding physicians for their performance allows doctors to invest in improving quality of care and eradicate quality disproportions. 

I agree with paying for the performance because it helps to improve the quality of care provided. Setting the bar high helps to shape doctors performance thus promoting quality of care and health outcomes. Therefore, pay for performance helps to improve efficiency, quality, and the general outcomes for patients. 

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Reference 

De Brantes, F., & Woolhandler, S. (2013). Should physician pay be tied to performance.  Wall Street Journal

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StudyBounty. (2023, September 17). The Benefits and Drawbacks of Pay for Performance in Health Care.
https://studybounty.com/the-benefits-and-drawbacks-of-pay-for-performance-in-health-care-essay

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