SB 5390-S - DIGEST

(AS OF SENATE 2ND READING 2/25/05)

Provides that the secretary shall, in collaboration with other state agencies that administer state purchased health care programs, private health care purchasers, health care providers, and carriers, use evidence-based medicine principles to develop common performance measures and implement financial incentives in contracts with insuring entities and providers that: (1) Reward improvements in health outcomes for individuals with chronic diseases, increased utilization of preventive health services, particularly for children, and reductions in medical errors; and

(2) Increase, through appropriate incentives to insuring entities and providers, the adoption and use of information technology that contributes to improved health outcomes, better coordination of care, and decreased medical errors, while not imposing significant costs or administrative burden on insuring entities or providers.