Autumn 2022

SOC optimization for Oncology treatments not only lowers the cost of delivery but can also improve the patient experience.

Oncology SOC optimization encourages patient referrals to community-based outpatient facilities for cancer treatments and therapies. Standalone infusion offices provide the same high quality level of treatment with a much lower price tag.1 This strategy is rapidly becoming a significant focus for payers, with 56% employing SOC as an oncology management strategy in 2020. It is considered an innovative management program that is one of several integral strategies for mitigating the rising cost trends in Oncology care.2

The benefits of employing these local care offices for the patients are immediate. Access to care is greatly improved when treatment facilities are closer to where patients live and work. In addition, time away from daily activities is reduced when care is more conveniently located.3 Finally,  decreased exposure to potential infections that come from crowded hospital facilities, especially emergency rooms, aids those cancer patients that often have  compromised immune systems. 

Payers also experience reductions in healthcare costs as care is often more appropriate in physician offices rather than in hospitals settings. “Commercial medical benefit drug costs in the hospital outpatient setting were often double that of the physician office.”4 Some specialty medications can be three to four times more expensive. Moreover, several studies show a reduction in administrative costs by at least 50% and consistently lower overall costs across the board.5, 6

Improving Office Oncology Care on a Local Level

The success of local care offices leans on a variety of resources. The benefits of patient navigation, financial assistance and social workers to support patients and ease administrative burdens from providers is imperative to providing care without loss of quality. Cultivating workflows and tools or partnering with a service to provide these programs is critical to successful implementation of local care offices. 

Spotlight: The Clinical Perspective

Headshot of Anthony P. Lam, MD MHS, Chief Medical Officer, OPN
Anthony P. Lam, MD MHS
Chief Medical Officer, OPN

How can optimizing oncology site of care impact patients?

It certainly can affect the patient finances in terms of co-pays and coinsurance. However, it can also improve a patient’s experience in terms of convenience, comfort, support and overall well-being. When care is closer to home, family members can accompany them during treatment. Just a long car ride can aggravate baseline pain for patients with bone or spinal cancer. This is more than just a matter of convenience.

Weigh in as a clinician on the importance of SOC.

The primary oncologist has more real time insights into how the patient is doing when treated in-office. I can observe any side effects or reactions to the infusion and make critical adjustments as necessary. If we need to change nausea medicines, we can do it right away rather than have the patient suffer with adverse reactions for 2-3 weeks until the next visit.

President Biden Signs Executive Order for CMMI Model to Lower Drug Prices

President Biden signed an executive order in October that directs the HHS Secretary to identify and launch Centers for Medicare & Medicaid Innovation (CMMI) models to lower drug prices (see factsheet here). The HHS Secretary is required to submit a report to the Assistant to the President for Domestic Policy within 90 days (by January 2023) with potential CMMI models to test policies that seek to lower drug prices and promote access to innovative therapies for Medicaid and Medicare beneficiaries. The HHS Secretary is expected to test models after submitting the report.

For further information, please contact:
Adam Goldston (email)
Chief Growth Officer
OPN Healthcare