Grading ACOs: Report Card Time

Photo illustration by Joe Schlue

Saving money while raising the quality of health care has been the central focus of the health care industry—from providers to health insurance carriers—since the arrival of the Patient Protection and Affordable Care Act (PPACA). One of the biggest drivers of both cost savings and increased quality was the implementation of accountable care organizations (ACOs).

PASS?: In August 2015, the Centers for Medicare & Medicaid Services (CMS) released its 2014 financial and quality performance results for its Medicare ACOs. According to CMS, ACOs in its Pioneer ACO Model and Medicare Shared Savings Program (MSSP) generated more than $411 million in total savings in 2014—which would seem to indicate that ACOs are working, and working well.