Medicare ACOs – A Blueprint For P4P For All Payers?

There has been a lot written about accountable care organizations (ACOs). The concept—groups of primary care providers coordinate care for a specified population with the goal of reducing costs and improving quality of care—was created by the Patient Protection and Affordable Care Act (PPACA) as a value-based purchasing model for Medicare. But ACO-like models are now used by both Medicaid and commercial insurance plans, and currently, about 15% of the U.S. population (49 million people) is served by an ACO (see 15% Of United States Population Served By An Accountable Care Organization).

The strategic question . . .