In a survey from the National Association of ACOs, fifty six percent of risk-bearing ACOs stated that they are likely to drop out of the Medicare shared savings program. Most of these ACOs that are taking on downside risks are concerned that they may bear financial losses, due to the COVID-19 pandemic.
One concern that these ACOs have is that they will have penalties from the Centers for Medicare and Medicaid Services (CMS) for their performance for the year. The CMS is giving a deadline of May 31st for ACOs to drop out of the Medicare shared savings program.
The CMS had released a policy for extreme and uncontrollable circumstances policy for ACOs, which helps to mitigate losses by looking at total months in the year that is affected by the pandemic and the percentage of assigned beneficiaries affected by the pandemic.
In the survey, out of 226 ACOs surveyed, 65% stated that it will be difficult to accurately predict their performance this year. This concerns ACOs as it will be difficult to report costs and quality of performance.
Read the original article from Modern Healthcare here.