Value-Based Care

HNI FYI #1: What is the Goal of Value-Based Care?

Value-based care links care quality to payment, incentivizes efficiency, and supports improving care, reducing costs, and enhancing patient experience.

The concept of value-based care is relatively new and complex.

That's why we created our educational series called “HNI FYI” — to educate our readers about value-based care and its impact on healthcare →. We’ll break down value-based care from a variety of points of view across the healthcare landscape and share the latest research from credible and reliable sources. Make sure to subscribe to the HNI Insider blog and follow our social media accounts for more HNI FYI posts.


Our first HNI FYI aims to answer one simple question: What is the goal of value-based care?

“Value in health care is the measured improvement in a patient’s health outcomes for the cost of achieving that improvement. Because value is created only when a person’s health outcomes improve, descriptions of value-based healthcare that focus on cost reduction are incomplete. Reducing costs is important but not sufficient: If the real goal of value-based health care [was] cost reduction, pain killers and compassion would be sufficient.”(National Center for Biotechnology Information)

Value-based care is a healthcare payment reimbursement model that incentivizes physicians and facilities to improve patient outcomes and lower extraneous spending on superfluous treatments. However, this model was not created solely to reduce healthcare costs. If that was the case, patients would not see an improvement in their health and their readmission rates would skyrocket. This is why the “value” portion of value-based care is integral to achieving this model.


"If the real goal of value-based healthcare [was] cost reduction, pain killers and compassion would be sufficient."


By educating providers → on evidence-based treatments in value-based care versus a fee-for-service model, they can eliminate unnecessary tests, avoid high-cost prescriptions when possible, and deliver more personalized treatments. This inevitably results in overall cost reduction and higher quality patient care experience. →

At HNI, we are focused on value and centered on patients. When we align patients, providers and hospitals under a value-based model, everyone wins.


Interested in learning more about value-based care? See what value-based care means to patients, providers and hospitals. →


Teisberg, E., Wallace, S., & O’Hara, S. (2020). Defining and Implementing Value-Based Health Care. →Academic Medicine,95(5), 682-685. doi:10.1097/acm.0000000000003122




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