Report questions ACOs' cost-effectiveness for providers

Share this article:

Accountable care organizations could very well improve the quality of healthcare, but incentivizing lower spending also could cause providers to cut corners, a new report suggests.

ACOs could be “the next great hope for many” — authors of a new research paper from The Urban Institute state in “Accountable Care Organizations in Medicare and the Private Sector: A Status Update.” But they might not be able to offer savings for participants or Medicare.

It should not take more than three years to determine ACOs' cost-effectiveness, the authors predict.

“By the end of 2012, we should know how successful [CMS's] program was in attracting provider interest in the ACO model in Medicare, and how extensively the private sector plans to experiment with this payment model,” the paper states. “Within a few years after that, we should have a much stronger evidence base about how to improve quality and reduce costs using ACO-style payment arrangements, given the experiments that Medicare and private sector providers and payers are currently embarking on.”

Click here to read the paper in full.

Share this article:

More in News

Hospitals in the Midwest refer patients to the broadest networks of skilled nursing facilities, study finds

Hospitals in the Midwest refer patients to the ...

Midwestern hospitals spread referrals to the greatest variety of skilled nursing facilities and tap their favorite SNFs least often, according to a recently published analysis of nationwide referral patterns.

Bill would affect pay, scheduling for some nursing home housekeeping staff

Nursing homes could face more stringent scheduling requirements for housekeeping workers and might be on the hook to compensate them for last-minute shift changes under a bill proposed in both houses of Congress.

Joint Commission adds memory care accreditation

New memory care accreditation for nursing homes encourages staff to use a flexible, problem-solving approach to care for those with dementia, according to Joint Commission guidelines.