“The Center for Medicare and Medicaid Innovation (CMMI) will only save Medicare nearly half of what the Congressional Budget Office (CBO) projected, according to a new analysis.”
“The analysis, released Wednesday from consulting firm Avalere Health, estimates that CMMI’s payment demonstrations will save Medicare $18 billion from 2017 through 2026, compared to $34 billion projected by CBO back in 2016. The study comes as the Trump administration is increasingly turning to CMMI to spearhead new payment models to shift Medicare payments to value-based care.”
“The key reason for the difference is likely a lack of experience at CBO on how to evaluate payment models, Avalere researchers say…”
“To estimate projected future CMMI savings, Avalere looked at expanding successful demonstrations including the Next Generation Accountable Care Organization (ACO) model and the Comprehensive Care for Joint Replacement model.”
“Both Avalere and CBO projected that these successful demonstrations would continue to expand; however…” Read the full article here.
Source: Avalere: CMMI will not generate as much savings for Medicare as CBO projected – By Robert King, January 15, 2020. FierceHealthcare.
