Title : Prospects of risk-adjusted capitation financing for value-based healthcare in Singapore
Singapore’s rapidly aging population and changing lifestyles are raising the prevalence of chronic diseases. Such progression in population health will increase healthcare costs and stress on the system. The fee-for-service model tends to increase the amount of health care delivered. Therefore, it is necessary to incentivize healthcare in such a manner so that the providers are galvanized to optimize the resources and innovate care models. This is where capitation financing for value-based healthcare comes in. ?Capitation funds healthcare providers for the concerned population to deliver the required care to the at-risk population on a per capita basis and is subjected to budget constraints for a specified period. However, there is a need for the model to include the diversity in the demography in terms of age, health, and enviro-economic factors to predict the risk which might affect the cost of care.
Our work is based on the demography, clinical profile, and cost of Singapore's citizens and permanent residents. The model takes the input of each individual's demographic and clinical profile to predict the cost incurred in the subsequent year. The model achieved an R2 score of 12% with a low bias of less than 10% in various groups of demography.
Audience Take Away Notes:
- Assess the need for financing to execute Value-Based Healthcare in Singapore
- To illustrate the methodology for risk adjusted capitation model
- Demonstrate the results and robustness of the model