Worries About ACOs Arise in Meeting of Health Insurers

Health insurance representatives meeting in their trade group, America’s Health Insurance Plans, worried that accountable care organizations would have too much negotiating clout, according to a report by the American Medical News.

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Some insurers, such as Humana and Cigna, have started small ACOs pilots, in which physicians and hospitals are paid on a fee-for-service basis but have a chance to earn extra money based on quality measures and savings.

However, some commentators at the meeting argued payments must move away from fee-for-service to sharing financial risk before they could have any effect. “Managed care without the risk — that’s like gin and tonic without the gin,” said Jeff Goldsmith, PhD, a University of Virginia professor of public health sciences and president of Health Futures. “How do you end up making choices if you’re not forced to make them?”

Read the American Medical News report on ACOs.

Read more coverage on ACOs:

15 Suggestions for Implementing ACOs from New AHA Letter to CMS

Start With a Targeted Accountable Care Arrangement Before Jumping Into an ACO

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