Seventy-six year old Frank Morrow is not only having his knee replaced at Hillcrest Medical Center in Tulsa, Oklahoma. He’s also helping to test a Medicare payment system. Under the “bundled” approach, Medicare makes a single reimbursement for all the hospital and doctor care for heart and joint procedures, rather than making separate payments to the facility and physicians.
It’s a win-win-win proposition: The hospital gets guaranteed customers, Medicare saves 4.4% on procedures and Frank Morrow gets $271 as an incentive for going to a hospital that participates in the program.
Producer: Renato Perez
KFF Health News is a national newsroom that produces in-depth journalism about health issues and is one of the core operating programs at KFF—an independent source of health policy research, polling, and journalism. Learn more about KFF.Some elements may be removed from this article due to republishing restrictions. If you have questions about available photos or other content, please contact NewsWeb@kff.org.