Mixed Outcomes for MSSP ACO Savings

High-cost ACOs in Medicare’s Shared Savings Program had an easier time earning shared savings than low-cost ones.

In accordance to a report from Leavitt Partners, 42% of accountable care organizations (ACO) residing in high-cost markets in the Medicare’s Shared Savings Program (MSSP) earned shared savings, while only 18% of agencies residing in low-cost markets earned shared savings. ACOs in the highest cost segment earned an average of $2.1 million, while ACOs from the lowest cost quintile earned $357,000. 26 percent of ACOs earned shared savings, the report stated. Although, these savings were very concentrated among a small amount of ACOs.

“The top 10 ACOs’ earned shared savings accounted for 30% of all 333 ACOs’ earned shared savings,” Leavitt Partners claimed. “While some ACOs are performing meaningfully well, most are not.”

Researchers pointed out that ACOs that covered more individuals typically didn’t earn more shared savings. However, they were capable to earn higher average quality scores.

The top 10 earning ACOs typically had higher quality scores. However, higher quality scores did not necessarily equate to shared savings, the researchers said. About 40% of ACOs in the most expensive markets “still failed to earn shared savings,” the report said.