New “insurance” regulations on providers participating in alternative payment arrangements

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By Catherine M. Murphy-Barron, Howard Kahn, Rebecca L. Johnson, Robert Parke | 02 September 2015
Many states have been pushing risk-sharing contracts as a way of controlling costs and improving provider quality. As providers assume more insurance risk through APCs, a greater percentage of their revenues is variable. They then face one of the largest risks an insurance company faces- insolvency due to patients (members) using more services than anticipated.