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Alternative Quality Contract

We believe that doctors and hospitals should be rewarded for delivering high-quality patient care and for helping to keep our members healthy.

In 2008, Blue Cross Blue Shield of Massachusetts developed an innovative way to pay for care that focuses on promoting quality and rewards positive health outcomes. Our Alternative Quality Contract (AQC) now includes 85 percent of the physicians and hospitals in the Blue Cross HMO network. It is a crucial component of Blue Cross' agenda to make quality health care affordable for its members and employer customers and is the predominant contract model between Blue Cross and its network physicians and hospitals. The alternative payment model fosters shared responsibility for both improving care and moderating the unsustainable rate of increase in health care costs. The AQC is currently one of the largest private payment reform initiatives in the United States and has become a model for state and national policymakers.

Alternative Quality Contract Results
An October 2014 study in the New England Journal of Medicine (NEJM) shows that AQC has improved the quality of patient care and lowered costs in the four years since it was first implemented. The four-year study by Harvard Medical School researchers offers important lessons for payment reform efforts nationally. Watch this video to learn more about the results from the Harvard researchers.

AQC payment model improved outcomes

You can also learn more about our Alternative Quality Contract directly from:

Northeast Physician Hospital Association
The Northeast Physician Hospital Association Medical Director talks about their experience with the AQC.

Children's Hospital
Children's Hospital Boston talks about their experience with the AQC.

Atrius Health
Atrius Health talks about their experience with the AQC.

Lowell General Physician Hospital Organization
Lowell General Physician Hospital Organization talks about their experience with the AQC.

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