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ACO REACH Misses Target In Serving High-Risk Groups

ACO REACH Misses Target In Serving High-Risk Groups

April 25, 2025Briana ContrerasManaged Healthcare ExecutiveMedicare, MA, MSSP, & Medicare ACOs,Medicaid & Medicaid ACOs,ACO REACH,Accountable Care Organizations (ACOs),Physician-Led ACOs

In its first year, Medicare’s Accountable Care Organization Realizing Equity, Access, and Community Health (ACO REACH) model fell short of enrolling providers that serve patients with high social risks, according to a new study published in JAMA Health Forum.

Researchers of the study said that without further participation from these types of organizations, the program is unlikely to meet its goal of reducing health disparities.

Many folks in the U.S.—especially those who are Black, Hispanic, American Indian, low-income or living in rural or vulnerable communities—face barriers to accessing high-quality healthcare.

These groups tend to experience higher rates of chronic illness, hospital visits and early death.

To reduce these disparities, CMS launched the ACO REACH program in January 2023 to bring the benefits of accountable care to communities that have been left out of previous programs, such as the Medicare Shared Savings Program (MSSP).

While ACOs have been part of Medicare since 2012, REACH is the first to focus on equity and includes new incentives and requirements that can attract providers who serve patients with high social risk.

For example, it adjusts financial criteria to reflect the added cost of caring for disadvantaged populations and requires participating organizations to create equity plans and collect data on patients’ social needs, the study shared.

Although it could take years to understand the program’s impact on health outcomes, it’s crucial to evaluate whether it’s increasing access to care.

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