Majority of healthcare executives expect finances to suffer in move to value-based contracts

Healthcare executives are more pessimistic about value-based contracts than they were in 2014, according to a survey from KPMG.

Here are three findings from KPMG's May 5 survey of 292 executives from healthcare providers, payers and life sciences companies.

1. Forty-five percent of respondents said they expect a drop in profits due to the move to value-based contracts. In 2014, about one-third of respondents said they expected a drop in profits due to the transition.

2. Among respondents who identified as healthcare providers, a slight majority expect their organization's finances to suffer with the move to value-based contracts — 25 percent expect a modest decline in operating income, 21 percent expect a significant drop and 6 percent expect a steep decline.

3. Respondents said they expect to make several patient care changes with the move to value-based contracts, including introducing more telemedicine options and developing home care programs.

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