In an effort to reduce healthcare costs, Connecticut will abandon its fee-for-service program in favor of a bundled payments model for its state employees.
Rather than billing for each service, test, medication and procedure, providers will receive a lump sum for the entire episode of care.
The bundled payments will first be available for 20 procedures and conditions, including knee replacement, colonoscopy and cataract surgery.
So far, 180 provider groups in Connecticut have committed to joining the new program and working to save costs for more than 220,000 state health plan members.
The state said it expects about 50 more provider groups to join before the end of the year.