MSSP yielded $2.1 billion in net savings in 2023, CMS says
MSSP earned shared savings payments totaling $3.1 billion, the highest since the program's inception.
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The Medicare Shared Savings Program (MSSP) yielded more than $2.1 billion in net savings in 2023 – the largest savings in the program's history, according to the Centers for Medicare and Medicaid Services.
CMS said Shared Savings Program Accountable Care Organizations (ACOs) are providing higher-quality care and supporting policies the agency has adopted to enhance primary care, expand access to accountable care to underserved communities, and prioritize quality care for common chronic conditions.
In 2023, ACOs in the Shared Savings Program earned shared savings payments (also known as performance payments) totaling $3.1 billion, the highest since the program's inception more than 10 years ago, said CMS. Plus, ACOs scored better on many quality measures than other types of physician groups and continued to demonstrate quality improvement.
ACOs led by primary care clinicians had significantly higher net per capita savings than ACOs with a smaller proportion of primary care clinicians. CMS said the results underscore the importance of primary care to the success of the MSSP.
WHAT'S THE IMPACT?
From performance year (PY) 2022 to PY 2023, ACOs' performance improved on quality measures they are required to report to share in savings, said CMS. This includes statistically significant improvement on quality measures related to diabetes and blood pressure control, breast cancer and colorectal cancer screening, screening for future fall risk, statin therapy for prevention and treatment of cardiovascular disease, and depression screening and follow-up.
As of January 2024, 480 Shared Savings Program ACOs include more than 608,000 clinicians who provide care to nearly 11 million people with Medicare.
Based on the program's success and opportunities to continually improve value for people with Medicare and the healthcare system, CMS said it has set a goal that 100% of people with Traditional Medicare will be part of an accountable care relationship by 2030. CMS is also continuing steps to further strengthen the Shared Savings Program.
The agency also said it's taking action to support ACOs, helping them report digital quality measures, including a proposal in the Calendar Year 2025 Medicare Physician Fee Schedule Proposed Rule to establish an adjustment to an ACO's quality score to account for the challenges organizations face as they transition to digital measures.
"CMS will continue to work with ACOs to overcome barriers to adopting digital quality measurement reporting," the agency said.
THE LARGER TREND
Last year, CMS announced that MSSP saved Medicare $1.8 billion in 2022 compared to spending targets for that year.
Of the 482 ACOs in 2022, 84% achieved savings to Medicare and 63% earned shared savings, according to CMS and the National Association of ACOs. MSSP actually saved Medicare $4.3 billion, with the savings of $1.8 billion reported after accounting for shared savings and losses, according to NAACOS.
Jeff Lagasse is editor of Healthcare Finance News.
Email: jlagasse@himss.org
Healthcare Finance News is a HIMSS Media publication.
