The Medicare Shared Savings Program (MSSP) was established by the Centers for Medicare & Medicaid Services (CMS) to foster responsibility within healthcare providers and slash expenses for enrollees. Via the MSSP, healthcare providers are motivated to establish Accountable Care Organizations (ACOs) to deliver cost-efficient, high-quality coordinated care to those covered by Medicare.
ACOs represent networks of healthcare providers collaborating to offer seamless, superior care to patients with Medicare. The MSSP provides financial rewards for ACOs that manage to cut costs whilst preserving or enhancing the quality of healthcare delivered. To qualify for these incentives, ACOs must adhere to specific quality benchmarks and partake in the financial benefits they generate. Should an ACO meet the established quality indicators and be successful in reducing expenditures, they are entitled to receive a share of the savings. Conversely, if an ACO falls short in achieving the quality parameters or does not manage cost savings effectively, they forfeit the chance to benefit from any shared savings.
