Medicare’s ACO program continues to expand with new ACOs and new types of ACOs.
The Center for Medicare & Medicaid Services (CMS) announced that 100 more Accountable Care Organizations have joined the ACO Shared Savings program in 2016, and 147 ACOs have renewed their participation. This brings the total number of Medicare Shared Savings ACOs to 434.
- Shared Savings ACOs receive a portion of any financial savings if they meet quality and cost benchmarks. Providers can also choose to share in losses in exchange for receiving a higher percentage of savings. For 2016, 22 ACOs have chosen these higher risk/reward payment tracks.
CMS also announced that 21 ACOs will participate in the newly created Next Generation ACO model which gives participants the opportunity to take on even higher levels of financial risk, up to 100 percent. In exchange, Next Generation ACOs will also be able to receive a greater share of potential savings.
This chart outlines the three ACOs models, their main features, and the number of ACOs in each for 2016.