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Report: Number of ACOs Ticks Above 500

April 25, 2014
by Gabriel Perna
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The number of accountable care organizations (ACOs) has reach more than 500 in total, according to a new report from the consulting firm, Oliver Wyman.

The report indicates that with the latest class of ACOs approved to participate in Medicare’s ACO programs, the number has jumped to 522, up from 320 one year ago. The number of Medicare ACOs is up to 368, up from 259 a year ago. In total, about 5.3 million Medicare beneficiaries, or about 10 percent of all Medicare beneficiaries, receive their healthcare from ACOs. Non-Medicare ACOs have had less of a jump, with 150 in existence, up from 130 last July. According to Oliver Wyman, the number of patients in organizations with ACO arrangements with at least one payer—both Medicare and non-Medicare—is now between 46 and 52 million or roughly 15 to 18 percent of the population.

“The rapid growth of ACOs is very encouraging,” Niyum Gandhi, a partner in Oliver Wyman’s Health & Life Sciences practice, said in a statement. “But no one should be deceived: The process of shifting American healthcare to a new, sustainable model is nowhere near the finish line. On the other hand, these numbers mean we have a critical mass lined up at the starting gate."

Earlier this month, the American Hospital Association (AHA) wrote a letter to the Centers for Medicare and Medicaid Services (CMS), imploring the government agency to make it easier for providers to join the Pioneer Accountable Care Organization and Medicare Shared Savings Program (MSSP) initiatives.

Read the source article at MarketWatch

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