LANSING, Mich. (AP) — Michigan's largest health insurer and a dozen hospitals have announced a deal to move to a new way of reimbursing health providers for services.

Blue Cross Blue Shield of Michigan and Trinity Health-Michigan said Monday their arrangement is the first of its kind in Michigan. The goal is fixing a traditional model in which providers are reimbursed for each service through agreements with insurers.

It has been criticized for giving a financial incentive to doctors and hospitals to provide more treatments rather than focusing on improving patients' health.

Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.

Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.