Leveraging Value-Based Enterprises to Create Business Model Flexibilities with Luis Argueso of InHealth Advisors

Decoding Healthcare Innovation

In this episode, you will discover:

• A simple definition of a value-based enterprise
• Why are Value-Based Enterprise arrangements very well suited to digital health companies?
• How Value-Based Enterprises reward teamwork between organizations

Key Takeaways:

• A value-based enterprise or VBE, is essentially a regulatory construct that permits substantial freedom in how organizations can pay providers for services. That freedom is gained in exchange for adhering to certain requirements around the relationship between the parties and how providers participate in value-based care initiatives.
• Digital health companies come from the tech world, and the tech world is all about subscription-based revenue. Payment based on a capitated model is one of the explicitly contemplated types of payment systems within the value base enterprise exception. Digital Health Companies have a leg up on other businesses because they're working within that capitated framework.
• The promise of value-based enterprises is that they really reward the organizations that are able to get together and work as a team. The government has recognized this and has built constructs that allow people to dip their toes in the water and explore to see how it works and maybe build something better.

“I discovered a lot of things that I think make value-based enterprises very well suited to digital health companies. They have a leg up on other businesses because they work within that capitated framework. A lot of the benefits that come with being a tech-oriented business can carry over into that quality accountability type world.” - Luis Argueso

Resources:

Website: https://www.inhealthadvisors.com/

LinkedIn: https://www.linkedin.com/company/inhealth-advisors/

Twitter: https://twitter.com/inhealthadvice

Learn more from Carrie and Rebecca:

Healthcare Insights (a monthly deep dive into specific topics for innovators): https://nixongwiltlaw.com/healthcare-insights

Telehealth/Virtual Care Mgmt Update (a biweekly LinkedIn newsletter tracking legal and policy changes across the nation): https://www.linkedin.com/newsletters/telehealth-virtual-care-update-6901900767960068096/

Website: https://nixongwiltlaw.com/

Carrie on LinkedIn: https://www.linkedin.com/in/carrienixon/

Rebecca on LinkedIn: https://www.linkedin.com/in/rebeccagwilt/

NGL on LinkedIn: https://www.linkedin.com/company/nixon-gwilt-law/