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Variability in Medicare direct contracting savings illustrates promises, pitfalls of value-based care

Variability in Medicare direct contracting savings illustrates promises, pitfalls of value-based care

December 12, 2022Rebecca PiferHealthcare DiveMedicare ACOs/MSSP,Direct Contracting (DCEs)

Organizations’ net savings in the first year of a Medicare accountable care model varied widely, spotlighting the difficulties of delivering value-based care, where just a few sick patients or a substandard operational model can significantly skew results, experts say.

Direct contracting entities in the Global and Professional Direct Contracting Model had a roughly 2% net savings rate on average, with a few major outliers, according to a Healthcare Dive analysis of recently released data from the CMS.

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