Will accountable care organizations (ACOs) be the value-based payment model of the future?That depends.
As the value-based care market has changed, ACO numbers have dropped and competitive payment models have attracted medical groups. ACOs need to prove that the shared savings model can increase historical savings and retain provider participation. And they may have limited time to do it.
The key to achieving this goal is to advance strategies beyond coordination of care and population health.
Many ACOs today accomplish savings mostly through administrative actions including patient outreach. It’s uncommon for many ACOs to adopt clinically-focused cost strategies. As a result, savings may be suppressed, some studies reveal. Few ACOs in their early years made progress on the actual cost drivers in health care, including specialty services costs, clinical standards of care, and acute care, according to one study. In another, 8% to 21% of ACOs had significant initiatives that impact care.
The guest author, Theresa Hush, is the CEO and co-founder of Roji Health Intelligence. Check out the Roji Health Intelligence Exhibit Booth!