Bundled pricing for maternity care

Bundled pricing is where a single price covers a full package of care over a defined period of time, spanning multiple events and settings of care. The intention is for resources and funding to be easier for hospitals to manage, to allow financial flexibility to encourage improved models of care or greater standardisation of evidence-based care, and drive better service delivery in the long run which should lead to better patient outcomes and lower costs.

IHPA convened an advisory group in early 2016 comprised of jurisdictions, peak bodies, clinicians and consumer advocates to develop a bundled pricing approach for maternity care. In mid-2017, the Bundled Pricing Advisory Group completed the development of a preferred bundled pricing model for maternity care. Significant barriers to implementation of a bundled pricing model have been identified. This final report summarises the work by the Advisory Group and acts as a guidebook to inform future policy decision making regarding the introduction of bundled pricing approaches in the Australian public hospital funding context.