Marissa Plescia , 2025-09-02 22:35:00
Accountable care organizations (ACOs) in the Medicare Shared Savings Program saved $2.4 billion in 2024, according to data released last week by the Centers for Medicare and Medicaid Services (CMS).
The Shared Savings Program allows healthcare providers and organizations to form an ACO, which takes responsibility for the quality, cost and patient experience of care for a group of Medicare fee-for-service beneficiaries.
Out of the 476 ACOs that participated in 2024, 75% earned $4.1 billion in performance payments, CMS also reported.
Last year saw the “highest share of ACOs receiving performance payments and the highest amount of savings for ACOs and Medicare since the inception of the Shared Savings Program,” the agency noted. The program started in 2012.
In addition, ACOs achieved higher savings per capita in 2024 than in 2023: $241 versus $207 in net per capita savings and $643 versus $515 in gross per capita savings, respectively. Net per capita savings reflect the amount saved by Medicare alone, while gross per capita savings represent the total savings shared between ACOs and Medicare.
Some ACOs, however, did not achieve savings, with 16 owing shared losses equalling $20.3 million.
CMS also reported that ACOs helped improve patient outcomes, including blood pressure and hemoglobin A1c levels. Of those that reported quality measures through the CMS Web Interface, the mean percentage of beneficiaries with controlled high blood pressure rose to 79.49% in 2024 from 77.8% in 2023. The mean percentage of those with poor hemoglobin A1c control fell to 9.44% in 2024 from 9.84% in 2023.
Moreover, most ACOs performed better than comparable physician groups on quality measures. For example, ACOs did much better than similar physician groups in screening for depression and creating follow-up plans: 53.5% compared to 44.4%.
The National Association of ACOs applauded the ACOs that achieved savings for Medicare.
“The results show ongoing measurable success in improving high-quality, coordinated care that addresses prevention, chronic illness and the root causes of disease,” said Emily Brower, president and chief executive officer of the National Association of ACOs, in a statement.
“NAACOS and its members are excited to partner with CMS to build on the success of ACOs in making and keeping seniors healthy by advancing the long-term sustainability of value-based care models,” Brower continued. “Together, we can continue to support health care innovation and transformation by creating long-term financial stability, developing capitation approaches, reducing provider burden, and making accountable care available to more seniors on Medicare.”
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