On August 30, 2022 Signify Health, Inc. (NYSE: SGFY), a leading value-based healthcare platform enabled by advanced analytics, technology, and nationwide healthcare networks, reported that its collaborative accountable care organizations (ACOs) generated more than $138 million in gross savings in 2021 (Press release, Signify Health, AUG 30, 2022, View Source [SID1234618783]). As a result of their strong performance in the Medicare Shared Savings Program, community hospitals and their affiliated physicians earned more than $59 million in shared savings payments. The Company also announced that it has surpassed its target for new ACO bookings in 2023 due to the strong performance and the combined capabilities of Signify Health and Caravan Health.
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"These impressive results confirm what we have learned through many years managing outcomes-based payment models – our dedicated population health management leads to quality care while saving money for Medicare," said Kyle Armbrester, Signify Health CEO. "Our approach and track record has resonated with our clients, allowing us to achieve record ACO sales for 2023 and to surpass 700,000 lives under management in 2023, with nearly 70% of attributed lives expected to be in Enhanced tracks. I’m excited to bring Signify’s in-home capabilities to these new clients in the coming months."
Signify Health’s success-based pricing model, with no upfront fees, effectively minimizes downside risk and has resulted in all Collaborative ACOs earning MIPS scores of 100% and the maximum positive payment adjustment. MIPS, the Centers for Medicare & Medicaid Services’ value-based measurement program, adjusts Medicare payment rates based on healthcare quality and outcomes.
In 2022, Signify aligned with more than 29,000 providers across more than 40 states, representing more than 500,000 covered lives. Provider organizations participating in Signify’s Collaborative ACOs include health systems, integrated delivery networks, rural and community hospitals, and independent practices. Signify is building on its success with a suite of new services in 2023, including in-home capabilities, Return to Home to support patient care transitions, and analytic enhancements to help providers solve patient problems at the point-of-care.
In March 2022, Signify Health acquired Caravan Health, a leader in guiding ACOs to success with client results that have historically led the nation in earned shared savings and MIPS scores. The acquisition resulted in one of the largest national networks of providers engaged in value-based payment models, with the goal to excel in population health management and value-based payment programs.