Value-based care is expected to replace a majority of traditional fee-for-service payment models. The Centers for Medicare & Medicaid Services recently announced it expects all Medicare beneficiaries to be covered by an accountable care plan by 2030.
Historically, fee-for-service models of care rewarded providers for every service performed which often prompted unwarranted tests and procedures and resulted in higher-than-necessary costs and duplicative services.
ACO methodologies have demonstrated lower costs, higher quality care, and incentivized providers by offering bonuses when costs are effectively minimized, and preventative care and chronic disease management benchmarks are met.
