Total Cost of Care and Resource Use (TCOC) measurement tools help providers, payers, employers, researchers, and government entities to evaluate the costs and resources used to treat varying populations. TCOC enables entities to translate opportunities into tangible actions to facilitate cost and resource use improvement. This information assists in improving care and redesigning care models to be more efficient and effective. Having been in use for over a decade (since 1995), TCOC measures, including TCRRVs™, have been used in public reports, case studies, and research projects.
- Providers can use TCOC values to estimate overall costs, and to evaluate practice efficiency and price competitiveness.
- Payers can use TCOC values to design benefits packages and create tiered networks, to develop reformed payment approaches (such as shared savings agreements).
- ACOs can use TCOC values to develop payment strategies. For instance, over 80% of HealthPartners’ membership is linked to providers who are paid on TCOC-based shared savings agreements.
- Government entities can use TCOC measures to inform development of exchanges, and other innovations which assess cost and resource use for plans and providers.
- Employer groups can use TCOC measures to support marketplace comparisons of cost, quality, and resource use.
- Researchers can use TCOC data to understand cost and resource drivers in the health care industry.
- Individuals can use TCOC tools and visuals to guide their decisions about their providers and services.