J&J Launches Risk-Sharing Program With Hospitals

Johnson & Johnson recently launched a pilot program consisting of new contracts to share outcome risks with hospitals, CEO Alex Gorsky said during the company’s Jan. 21 earnings call.

In response to shifting reimbursement incentives, Johnson & Johnson is piloting a new procedure-based- outcomes contracting approach with some hospitals.

It’s “essentially a risk-sharing program with hospitals tied to positive readmission trends,” CEO Alex Gorsky explained during the company’s 2013 fourth quarter earnings call on Jan. 21.

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