Advisory Board August 18, 2025
CMS’ new mandatory payment model, the Transforming Episode Accountability Model (TEAM), is only a few months away from launching, but healthcare analysts say that many hospitals still aren’t ready and have fallen behind in their preparations, in part due to ongoing policy changes, financial difficulties, and more.
Background
TEAM is a five-year mandatory bundled payment program that will take effect Jan. 1, 2026. According to CMS, TEAM aims to improve quality and reduce costs by promoting care coordination.
“People with traditional Medicare who undergo a surgical procedure in a hospital or hospital outpatient department may experience fragmented care that can lead to complications in recovery, avoidable hospitalization and increased spending,” a CMS spokesperson said.
Under TEAM, selected acute-care hospitals will...
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