Rhode Island Health Care Cost Trends Project

The Health Care Cost Trends Project is a collaborative partnership between the Office of the Health Insurance Commissioner (OHIC), the Rhode Island Executive Office of Health and Human Services (EOHHS), Brown University’s School of Public Health, and the Peterson Center on Healthcare. The project was convened to study local health care cost trends and establish a target growth rate for the state.

In phase one of the project, project participants established a cost growth target of 3.2% for the state, making Rhode Island the first state in the nation to have a wide array of stakeholders voluntarily commit to working toward a health care spending target. This phase of the project also included an analysis of the key “drivers” of health care cost growth in the state. 

In Phase two, project participants used data to drive innovation and support actionable steps to improve Rhode Island’s health care system. In addition to the cost growth target implementation, the 18-month long collaboration focused on the strategic use of data, stakeholder engagement, sustainability, and various policy analyses – all under the guidance of the steering committee, comprised of government, business, and community leaders who are committed to improving the health care system by translating data into action.


Health Spending Accountability and Transparency Program

Continuing the success of the Rhode Island Health Care Cost Trends Project

Governor Dan McKee is proposing the creation of a Health Spending Accountability and Transparency Program intended to significantly strengthen accountability for health care cost growth by health insurers and large health care providers. This program will continue the important work of the Rhode Island Cost Trends Project, an initiative that began in 2018 to identify cost and utilization drivers, develop an annual health care cost growth target, and inform system performance improvements.

“Rhode Island has made significant progress in containing health care costs in recent years, but despite these efforts, the cost of health care is still a burden to many Rhode Island working families,” Health Insurance Commissioner Patrick M. Tigue said. “This program provides our state with a critical opportunity to find and address the key health care cost growth drivers and translate those findings into innovative solutions to lower health care costs for consumers.

The Health Spending Accountability and Transparency Program, funded by $500,000 of State Fiscal Recovery Fund dollars and led by OHIC in partnership with health care stakeholders, local businesses, and community advocates, has three key goals that are designed to curb health care spending growth:

  • Goal 1: Understand and create transparency around what drives cost growth
  • Goal 2: Create shared accountability for cost growth among insurers, providers, and government by measuring performance against a cost growth target
  • Goal 3: Lessen the negative impact of rising health care costs on Rhode Island residents, businesses, and government


Compact to Reduce the Growth in Health Care Costs and State Health Care Spending in RI

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Performance Year 2020 Cost Trends Report

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Compact to Accelerate Advanced Value-Based Payment Model Adoption in Rhode Island

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