Administration Announces 89 new Accountable Care Organizations

July 10th, 2012

Yesterday, HHS Secretary Kathleen Sebelius announced the addition of 89 new Accountable Care Organizations, which as of July 1, began serving 1.2 million people with Medicare in 40 states and Washington, D.C.  ACOs are organizations formed by physicians and other health care providers that have agreed to work together to coordinate care for people with Medicare.  By participating, providers have an opportunity to share in savings realized through high-quality, well-coordinated care.  The 89 new ACOs bring the total number of organizations participating in the Medicare Shared Savings Programs to 154.  This includes the 32 Pioneer ACOs announced last December and the six Physician Group Practice Transition Demonstration organizations that began in January 2011.  Altogether, more than 2.4 million beneficiaries are receiving care from providers participating in these initiatives.