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Current Status and Trends in Performance-Based Risk-Sharing Arrangements Between Healthcare Payers and Medical Product Manufacturers

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Abstract

Our objective was to identify and characterize publicly available cases and related trends for performance-based risk-sharing arrangements (PBRSAs). We performed a review of PBRSAs over the past 20 years (1993–2013) using available databases and reports from colleagues and healthcare experts. These were categorized according to a previously published taxonomy of scheme types and assessed in terms of the underlying product and market attributes for each scheme. Macro-level trends were identified related to the timing of scheme adoption, countries involved, types of arrangements, and product and market factors. Our search yielded 148 arrangements. From this set, 65 arrangements included a coverage with an evidence development component, 20 included a conditional treatment continuation component, 54 included a performance-linked reimbursement component, and 42 included a financial utilization component. Each type of scheme addresses fundamental uncertainties that exist when products enter the market. The pace of adoption appears to be slowing, but new countries continue to implement PBRSAs. Over this 20-year period, there has been a consistent movement toward arrangements that minimize administrative burden. In conclusion, the pace of PBRSA adoption appears to be slowing but still has traction in many health systems. These remain a viable coverage and reimbursement mechanism for a wide range of medical products. The long-term viability and growth of these arrangements will rest in the ability of the parties to develop mutually beneficial arrangements that entail minimal administrative burden in their development and implementation.

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Acknowledgments

The authors received no funding to produce this work and have no financial conflicts of interest to declare.

Author contributions

Josh Carlson was the lead author for this manuscript and contributed to all phases of its development, including conceptualization, data abstraction, data analysis, and manuscript writing. He is the guarantor for the overall content.

Katie Gries worked on data abstraction, data analysis, and manuscript writing.

Kai Yeung worked on data abstraction, data analysis, and manuscript writing.

Sean D. Sullivan worked on conceptualization and manuscript writing.

Louis P. Garrison worked on conceptualization and manuscript writing.

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Correspondence to Josh J. Carlson.

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Carlson, J.J., Gries, K.S., Yeung, K. et al. Current Status and Trends in Performance-Based Risk-Sharing Arrangements Between Healthcare Payers and Medical Product Manufacturers. Appl Health Econ Health Policy 12, 231–238 (2014). https://doi.org/10.1007/s40258-014-0093-x

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