Why Collaboration is Vital to Value-Based Arrangements
Eli Lilly and Company | January 22, 2020
Recently, Lilly joined NEHI (Network for Excellence in Health Innovation) and other industry experts to discuss how value-based arrangements (VBAs) can help patients and enhance their care by addressing patient preferences and values.
The evolution to VBAs that are more patient-focused will require increased collaboration between payers, health systems, patients and industry, said Eric Klein, Lilly’s senior director, oncology, global patient outcomes and real-world evidence.
“The value-based arrangements we are implementing in the market are already helping all of us learn how to effectively implement these agreements and measure value in the real world,” Klein said. “Lilly is committed to moving toward a health care model based on value and not purely volume, and we’ll continue to share learnings with patient advocates and payers to further enhance those positive steps forward.”
The panelists discussed how important it is that the next generation of value-based arrangements is designed to protect and enhance patient care – both in the immediate, as patients need access to new therapies, and in the future, when the ongoing learnings can inform and improve treatment outcomes. Incorporating diverse data from patients will be incredibly important.
“The benefit of value-based arrangements isn’t just to give access to medicines,” said Erin Huntington, Lilly’s senior director of PRA strategy and marketing. “They also allow us to learn about real-world results and gather data so we can continue to improve outcomes.”
However, there are barriers to accessing those benefits.
“There are challenges with the current reimbursement model that prevents payers from taking on more risk,” said Bethanie Stein, vice president of strategic contracting at Humana. “For example, if value-based arrangements were excluded from Medicaid best price, that would open up negotiations to include more risk-sharing between stakeholders, and we could do more of these innovative contracts.”
NEHI will host a follow-up panel later this year that will focus on policy and financial issues facing the health care industry, and how we create the patient data metrics that will bring a patient focus to measuring data.
We look forward to continuing the discussion about the scale and scope of value-based arrangements, and how to improve outcomes for patients.