Case Study

5 minute read

How Avera Health Took Control of Infusion Site-of-Care Decisions

Learn how Avera Health took control of infusion site-of-care decisions to ensure patient safety and financial sustainability.

Overview

The challenge

Payers are increasing restrictions on infusion services for high-cost specialty medications. Health system leaders report that these policies threaten patient safety and the financial sustainability of hospital-based infusion centers. However, many health systems lack the internal coordination to assess the impact of these policies. Additionally, payer contracts and infusion site-of-care decision-making typically fall to teams without the knowledge or tools to act in the best interest of the health system.

The organization

Avera Health is a fully integrated health system with 35 hospitals. It’s based in Sioux Falls, South Dakota. Avera’s pharmacy services include in-home and hospital-based infusion operations, a fully accredited specialty pharmacy, as well as retail, long-term care, and compounding pharmacies.

The approach

Avera Health’s pharmacy leader took a multipronged approach to streamlining site-of-care decision-making. She collaborated with critical health system leaders on understanding the options for ensuring that the right site-of-care decisions can be made in the moment. The leaders were then able to coordinate the right support for the teams responsible for making infusion decisions.

The results

Avera’s initiatives led to a significant increase in home infusion specialty drug revenue, a substantial decrease in unreimbursed infusion center drug costs, and improved payer contracts. The initiatives have also received positive feedback from Avera staff and led to an improvement in patient experience.


Approach

How Avera Health took control of infusion site-of-care decisions

At Avera Health, a pharmacy leader convened and educated key stakeholders across the health system about pharmacy site-of-care issues. The resulting multidisciplinary work group developed strategies to support more appropriate site-of-care decisions. The connections forged through this work group have better prepared Avera Health to respond to future payer challenges.

The three elements

There are three key elements to Avera Health’s process of determining infusion site-of-care decisions:

Avera Health infusion program leaders thought their payer strategy was working after they instituted a “no white-bagging”1 policy and successfully appealed site-of-care mandates. However, payers soon became unresponsive to appeals. Instead, payers started referring patients directly to home infusion or requiring white bagging. Questions mounted across the health system as an increase in Avera’s home infusion call volume exposed the scope of payer restrictions.

Collaborate to drive a holistic, proactive response

To address escalating concerns about payer infusion restrictions, Avera’s assistant vice president (AVP) of pharmacy convened key stakeholders in an interdisciplinary work group.2 The AVP of pharmacy first educated the group on trends in infusion site-of-care, the impact of payer policies on health system services, as well as the options and levers available to minimize care disruption. Most importantly, the group focused on how to make sure the system was paid for infusion services despite changing trends. The group met monthly to create different workflow algorithms, modeling by payer and by drug to determine best ways to triage patients. The cross-stakeholder dialogue resulted in a holistic, proactive response to payer restrictions on infusion services.

1“White-bagging” refers to payer policies that require specialty pharmacy sourcing for medications administered in hospital outpatient departments
2Key stakeholders represented Avera’s infusion center, home infusion, specialty pharmacy, payer contracting, and finance teams.

The work group identified the need for a “gatekeeper” to proactively address payer restrictions when patients arereferred for infusion services. Leaders created an infusion advocate role to streamline prior authorization and patientintake processes. Infusion advocates determine the optimalsite of care based on patient and payer factors. The advocates also help ensure that Avera will be reimbursedfor the care.

Infusion advocate core functions

Infusion advocates optimize site of care and ensure carecontinuity for patients. Their responsibilities include:

  • Conducting pre-infusion benefit investigations
  • Synthesizing payer policies, quality and safety metrics, and patient preference to determine the best setting for an infusion
  • Checking scheduled infusions to ensure active authorization and manage appeals
  • Collaborating with infusion schedulers to ensure care continuity for infusion patients
  • Working directly with patients to facilitate financial assistance, such as enrollment in free drug programs

Maximize impact by deploying existing expertise

The infusion advocate role builds on expertise developed in Avera’s specialty pharmacy advocate program. Prerequisite competencies include prior authorizations, pharmacy benefit investigations, pharmacy billing, and health system pharmacy services. While the infusion advocates’ workflow mirrors that of specialty pharmacy advocates, infusion advocates have the added challenge of working across both pharmacy and medical benefits.

During their training, new infusion advocates meet with each of the work group stakeholders individually, across a three week period. The training covers topics such as medical benefit billing, communication, handoffs, and roles. Advocates spent time with clinic staff to better understand medical authorizations for infusions.

Before going live, infusion advocates demonstrate their ability to identify the best solutions for different patient situations by working through sample cases.

Infusion advocates trained from existing staff

 

Hours required to train new infusion advocates

Identify opportunities ahead of payer negotiations

Collaborating in the work group enabled Avera’s pharmacy and payer contracting teams to establish a strong working relationship. Because of this mutual trust, the pharmacy AVP is now immediately notified of medication-related payer contract changes and works closely with C-suite leaders and the payer contracting team ahead of payer negotiations.

Avera’s pharmacy AVP also provides the payer contracting team with critical information to support stronger, more nuanced payer negotiations. Information includes quality data as well as financial analyses to demonstrate the hard dollar value of various contracting opportunities for the health system. One outcome of this collaboration was that the contracting team successfully negotiated to include Avera in a payer’s exclusive specialty pharmacy network.

Use pharmacy expertise to offset future challenges

Bringing in pharmacy expertise and capabilities positions Avera to preemptively address both payer restrictions on infusion services and other specialty drug management strategies. This supports Avera’s negotiations for a wide range of issues, from more favorable at-risk contracts to formulary changes for biosimilar conversions.

Pharmacy information used to support payer contract negotiations


Results

In addition to better internal collaboration and improved payer contracting, Avera Health has seen positive financial implications as well as satisfaction among patients and staff.

Realized hard-dollar value in savings, revenue

Infusion advocates help the system avoid approximately$30K per week in unreimbursed drug costs by ensuring scheduled infusions have an active prior authorization. They also generate additional revenue by limiting leakage of infusions otherwise sent to external providers. The infusion advocate’s impact extends to increases in home infusion specialty drug revenue and prescription volume.

300%
Increase in average home infusion specialty drug revenue in the first half of 2020 compared to the first half of 2019

Improved patient experience

The results also go beyond financial implications. Infusion advocates have improved the patient experience by identifying financial assistance and managing site-of-care issues before they impact patients. This has led to a notable decrease in patient calls and unpaid claims.

Promoted staff well-being

Infusion advocates enable Avera’s clinical staff to spend more time delivering patient care by taking over tasks related to appeals, prior authorization, and financial assistance. The role is also an additional opportunity along the pharmacy technician career ladder.

$442K
Total value of financial assistance identified for Avera infusion patients

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AFTER YOU READ THIS

1. You'll understand challenges related to payer restrictions on infusion services.

2. You'll learn about Avera Health's approach to streamlining site-of-care decisions.

3. You'll gain insight into the results from Avera's initiatives.

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