By: Dan Brillman and Jacob Reider
Social care providers, sometimes referred to as community-based organizations, are on the cusp of a disruptive change in the way they can operate financially. The old system of attaining funding by requesting grant money from the government or private foundations is rapidly being replaced by a move to receiving funding from health insurance companies and at-risk care delivery organizations who offer financial incentives—such as shared savings—for their part in keeping individuals healthier while reducing the total cost of care.
This is all part of a shift in the focus of health care overall. In the past, medical care providers were paid based on fee-for-service (FFS) arrangements. As such, the services they delivered were completely independent of services delivered by social care providers.
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