Stakeholders Agree: Modernize the legal framework to support move to value-driven health care

Michelle Drozd
Michelle Drozd March 6, 2017


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Modernizing certain laws and regulations to support the move to value-driven health care is an important step in moving our health care system forward. As part of PhRMA’s proactive policy solutions, we’ve recommended modernizing the Anti-Kickback Statute to support expanded value-based contracting between biopharmaceutical companies and private payers or health care providers. 

A recent white paper takes a deeper look at how reforms focused on Stark and Anti-Kickback could help the move toward value-driven health care.

The paper points out, “The legal framework must allow appropriate patient-serving care delivery and payment models that encourage broader collaboration among stakeholders to accelerate ongoing improvements in care quality and patient safety while reducing the rate of cost growth…. Stakeholders across the entire healthcare system are considering and advocating for changes to the current legal framework to make it more compatible with healthcare delivery system transformation while still retaining appropriate protections against fraud and abuse.” 

Biopharmaceutical companies, health care providers and other stakeholders see a similar need for a new legal framework to allow evolution of the private market to be increasingly focused on improving patient outcomes and reducing growth in overall costs. Policymakers should recognize these challenges and make the changes needed to allow continued evolution of the U.S. health care system. 

Read more about the biopharmaceutical industry’s move toward a value-driven health care system at PhRMA.org/Value-Collaborative.

Topics: Value-Driven Health Care, Policy Solutions, The Value Collaborative