ELI5: Explain Like I'm 5

Pay for performance (healthcare)

Okay, so you know when you do something really good and your parents give you a treat or extra screen time? That's kind of like pay for performance in healthcare.

When doctors and hospitals help their patients get better or stay healthy, they can get extra money or rewards. This means they have to work really hard to make sure their patients are happy and healthy.

For example, if a doctor makes sure their patient takes all their medicine correctly and follows all their instructions, they might get extra money. Or if a hospital helps their patients recover from surgery really quickly, they could get a bonus.

Pay for performance is like a way to encourage doctors and hospitals to do their best because they want to get the treat or extra money. This helps make sure patients get the best care possible.