Does fee-for-service need to end?

Steve Schroeder • APRIL 11, 2014

Steve Schroeder, Professor of Health and Health Care at UCSF, discusses the work he did as Chair of the National Commission on Physician Payment Reform. For approximately a year, the commission studied how changing the way in which physicians are paid could lower the cost of healthcare and improve patient outcomes. On March 4, 2013, the Commission issued a report calling for the elimination of stand-alone fee-for-service payment by 2020. According to Schroeder, fee-for-service is inherently inefficient and provides the wrong incentives. Payment reform, he Schroeder, should include standardized prices and be based at least partially on quality metrics.

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