Baylor Scott & White ACO Lowers Costs in First Two Years

Baylor Scott & White Quality Alliance cuts hospital admissions and readmissions, improves quality measures

Baylor Scott & White Quality Alliance (BSWQA), the system's accountable care organization, lowered the cost of employee health plan medical costs by nearly $14 million for its members in its first two years, compared to the targeted amount.

The reduction in costs represented a 7 percent savings.

Among BSWQA's other results for its 34,000 covered lives:

  • Hospital admissions per thousand were reduced by 4.3 percent.
  • Thirty-day hospital readmissions were down 15 percent.
  • The prescribing rate for generic medicine increased.

BSWQA President Carl Couch, MD, said, "Successfully accomplishing the mission of the BSWQA will be measured by achieving high performance in accepted quality measures and lowering costs. We are pleased that in our first two years, managing the health of Baylor Scott & White Health North Texas division employees, we have had very positive performance in both areas. Reduction in unnecessary admissions, readmissions, and ED visits not only lowers cost, but prevent hardship for patients."

Since it began in 2011, the BSWQA has grown to more than 3,500 physicians (including over 900 physicians from the Baylor Scott & White Health Central Texas division), 49 hospitals, 48 post-acute care facilities, and other stakeholders across the health care continuum. In addition, its collaboration with Walgreens offers simple non-acute care services, in-network, for BSWQA's 40,000 covered members in 13 clinics opening throughout the Dallas/Fort Worth area in 2014 and 2015.

BSWQA enters into managed care contract agreements that offer shared savings opportunities to participating BSWQA physicians for providing high quality care at a reduced cost.

BSWQA is governed by a physician-led board of managers.

Couch said, "BSWQA is an affiliate of Baylor Scott & White Health, but it is led by physicians. It is very doctor-driven, and that is important for doctor buy-in."

BSWQA physicians sign contracts committing to improving outcomes, measuring themselves against their peers, collaborating to develop new standards of care and spreading best practices. Providers use more than 100 evidence-based protocols and metrics for which improvements in care can be compared and monitored.

Utilizing key tools for population health management including but not limited to: comprehensive care coordination, evidence-based medical, protocol-driven disease management, and standardized proactive outreach for preventative health services has improved care and ultimately reduced health care costs.

 

About Baylor Scott & White Health
As the largest not-for-profit health system in the state of Texas, Baylor Scott & White promotes the health and well-being of every individual, family and community it serves. It is committed to making quality care more accessible, convenient and affordable through its integrated delivery network, which includes the Baylor Scott & White Health Plan, Baylor Scott & White Research Institute, the Baylor Scott & White Quality Alliance and its leading digital health platform – MyBSWHealth. Through 51 hospitals and more than 1,200 access points, including flagship academic medical centers in Dallas, Fort Worth and Temple, the system offers the full continuum of care, from primary to award-winning specialty care. Founded as a Christian ministry of healing more than a century ago, Baylor Scott & White today serves more than three million Texans. For more information, visit: BSWHealth.com