Fierce Health Payers January 15, 2020
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.
“When CBO put out their number there hadn’t been any experience with CMMI...
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