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Potential of Value-Based Payment for Substance Use Disorder

April 24, 2024

The urgency of addressing substance use disorder (SUD) in the U.S. has led to a growing movement for using more effective payment models, as detailed in a recent Westat-produced report for the Substance Abuse and Mental Health Services Administration (SAMHSA), Exploring Value-Based Payment for Substance Use Disorder Services in the United States (PDF). Westat staff who contributed to this report include Lynnea Brumby, Jennifer Caputo PhD, Shoma Ghose PhD, Mustafa Karakus PhD, Elian Rosenfeld PhD, and KaTysha Sirleaf.

Value-based payment (VBP) models pay providers based on the value rather than the volume of services. Though more common in physical health services, VBP has the potential to improve care for individuals with SUD due to their complex and continuing needs. The report highlights the progress states have made toward developing VBP models as well as challenges and potential solutions.

For more behavioral health innovative financing information, check out other reports and presentations Westat completed at the Center for Financing Reform and Innovation (CFRI) website.

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