Reducing the Growth of Spending
The AMA is engaged in a number of efforts that have the potential to further reduce the rate of growth in health care costs:
Reducing practice burdens to decrease administrative costs.
- Working to improve and reform manual, burdensome processes, such as prior authorization, and increase efficiency in physician practices to help reduce administrative costs in health care spending.
- Supporting the creation, maintenance and adoption of standard electronic transactions. The AMA is an active participant in standard development organizations, such as the Accredited Standards Committee, X12N Insurance Subcommittee, National Council for Prescription Drug Programs (NCPDP) and Health Level 7 International (HL7).
- Supporting physicians’ interests in reducing administrative burden via testimony before the National Committee on Vital and Health Statistics Subcommittee on Standards, an advisory body that makes recommendations to the HHS Secretary regarding the standard transactions.
Promoting participation in evidence based lifestyle modification programs such as the National Diabetes Prevention Program (DPP) to reduce or delay the onset of diabetes among those with prediabetes.
- AMA research shows that lifestyle modifications can reduce annual health care costs by nearly $2,700 per participant and have a 3 year ROI as high as 42%*. Use the AMA Diabetes Prevention Program Cost Savings Calculator to determine potential savings for your organization.
- The AMA is working with the Centers for Disease Control and Prevention to increase physicians’ awareness of and referrals to the CDC-recognized lifestyle change program to mitigate the burdens associated with prediabetes^. Find out more information.
*Source: Khan, Tamkeen, Stavros Tsipas and Gregory D. Wozniak. Medical Care Expenditures for Individuals with Prediabetes: The Potential Cost Savings in Reducing the Risk of Developing Diabetes. Population Health Management.
^Source: Nhim, Kunthea, Tamkeen Khan, Stephanie M. Gruss, Gregory D. Wozniak, Kate Kirley, Patricia Schumacher, Elizabeth Luman and Ann Albright. Primary Care Providers’ Behaviors toward Screening, Testing, and Referring Patients with Prediabetes to CDC’s National Diabetes Prevention Program. American Journal of Preventative Medicine.
Previous Policy Research Perspectives