Study: Coordinated care doesn't lead to Medicare savings

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Programs with low-cost enrollees are not likely to generate savings for Medicare, a study of a coordinated care demonstration indicates.

Coordinated care programs are not likely to realize large enough savings to offset their intervention cost, according to the authors of a study of Medicare Coordinated Care Demonstration (MCCD) sites by Mathematica Policy Research Inc.

"[A] few programs may be unable to generate net savings even if they were to reduce Medicare costs by 20 percent," the study stated.

The study is part of an early examination of 15 sites participating in the MCCD, a demonstration project mandated by Congress and administered through the Centers for Medicare & Medicaid Services. Only four of the 15 sites had met their own enrollment targets for the first year, Mathematica found.

Still, patients in the demonstration were pleased with their care, reporting increased satisfaction with their overall care and appearing to have increased understanding of their diseases, Mathematica researchers said. The report can be found at http://www.mathematica-
mpr.com/publications/PDFs/bestpraccongressional.pdf.