The Importance of Value-Based Sleep Healthcare & Performance Tracking

For a typical employer, approximately 45% of employees report sleep problems and 20% suffer from a clinical sleep disorder. Of those who seek help from a physician, roughly 20% achieve a diagnosis through the traditional fee-for-service model, with half proceeding to treatment, and with less than 50% of those who started treatment continuing beyond the first year.


In today’s market, there has been a gradual but noticeable shift in the payment and delivery of sleep healthcare solutions. Some providers are veering away from the traditional fee-for-service model (the industry payment and delivery norm) to a fee-for-performance, or value-based, payment model. Traditionally, participants are left to navigate the healthcare system alone and receive fragmented, inconsistent services from disparate links within the chain of care that provide only minimal results. This model has a large impact on companies, who provide significant health care benefits to their associates with little understanding of the total cost of care provided or the outcomes of that care. That makes it increasingly difficult to identify or measure the impact of healthcare benefits due to the inherent flaws in the fee-for-service system. The current system also results in the discontinuation of treatment for many who have sought care as it neglects to address the central needs for support and real-time intervention. These interventions drive outcomes, which in turn enhance health and wellbeing for those treated, as well as a return on investment for the patient and their employer.

According to a report by the Harvard Business Review entitled “The Strategy That Will Fix Health Care,” it’s important that the outcomes measured are actually relevant to the the patient. These outcomes “should be measured by medical condition (such as diabetes), not by specialty (podiatry) or intervention (eye examination).” By transitioning to a value-based model, companies only pay for treatment their employees actually receive. This enables companies to cut down on the wasteful costs associated with delays and fragmentation that effectively dilute treatment success. Additionally, value-based care models emphasize real-time intervention, which helps patients receive the level of care they need and in turn drives adherence and efficacy, resulting in visible outcomes for the patient and their company. When patients are receiving successful therapy, they sleep better, increase their quality of life and work more productively.


For the value-based sleep healthcare approach to be successful, regular observation and adjustments are essential and provide actionable insight into how well treatment is working. The FusionHealth platform allows patients to track their improvement and monitor their results. This visibility facilitates progress and accountability. The employer is also granted access to aggregated, de-identified detail on their program’s performance, providing corporate-level visibility as employees become safer, more productive and healthier with successful treatment. This essential reporting offers clarity as to whether or not the program is meeting both business goals and the needs of its members. In the end, these insights empower companies to work in concert with FusionHealth to make adjustments that will ensure the greatest level of success for everyone.


The results achieved through a value-based solution far outweigh those delivered via traditional models. For FusionHealth participants in the value-based model, there is a significant improvement in overall vitality by approximately 34%. This optimization in wellbeing also has a positive impact on healthcare costs related to chronic disease, achieving savings of approximately 23% within the first year. A recent CFO survey conducted by the Integrated Benefits Institute revealed that since 2010, cost reduction is the number one issue for approximately half of the CFOs surveyed. When individuals’ sleep issues are addressed through the value-based model, they are also three times less likely to be at risk for workplace accidents and injuries. Investing in proper sleep health is paramount to reducing healthcare costs and addressing the important safety and vitality concerns for companies and their associates.


By moving away from the traditional fee-for-service model into a value-based fee-for-performance solution, improvements are actively measured and reported so that both company programs and patients achieve better results. Seeking out value-based solutions like FusionHealth ensures that a company’s investment is targeted toward providing a higher level of care, support and information for patients, which results in greater adherence to treatment and outcomes.

How Much is Poor Sleep Costing Your Business?


Weaver, Grunstein, Adherence to continuous positive airway pressure therapy, Proc Am Thorac, Soc. 2008
Mid-America Coalition on Health Care
Harvard Business Review