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Community Health Network’s IHCI ACO LLC improves care for Medicare beneficiaries; saves Medicare millions

For release on August 30, 2023

INDIANAPOLIS, IN—Community Health Network’s IHCI ACO LLC improved care for 25,087 Medicare beneficiaries in the central Indiana area and saved Medicare $5,445,838 by meeting quality and cost goals in 2022, according to recently released performance data from the federal agency that administers Medicare.

Medicare data show that the Community Health Network IHCI ACO earned a quality score of 81.29 percent on performance measures ranging from preventive health checks to use of computerized health records to preventing avoidable hospitalizations. The $5,445,838 of gross savings to Medicare resulted in a shared savings payment of $4,002,690.99 of shared savings payments to IHCI ACO, which will be used to reinvest in additional population health efforts.

“When providers work together through an ACO to focus on patients and invest in care coordination, information technology, and other care improvements, they can both increase quality and reduce costs,” said Dr. Patrick McGill, Executive Vice President, and Chief Transformation Officer at Community Health Network. “ACOs like ours are measurably improving care and saving money while maintaining patient choice of Medicare providers.”

For example, IHCI ACO providers work to increase the number of Medicare beneficiaries taking advantage of annual wellness visits, including recommended screenings and preventive care. The ACO also focuses on ensuring smooth patient transitions from the hospital to home—or a nursing home if needed. All ACO providers receive detailed information about their performance on quality measures. And clinicians and providers share best practices to coordinate the care beneficiaries receive from different primary care and specialty providers and to prevent health issues and repeat hospitalizations. IHCI ACO includes Community Physicians Network providers who provide health care services throughout Central Indiana.

A market-based solution to fragmented and costly care, accountable care organizations (ACOs) empower local physicians, hospitals, and other providers to work together and take responsibility for improving quality, enhancing patient experience, and keeping care affordable. The Medicare Shared Savings Program (MSSP) creates incentives for ACOs to invest in transform care by allowing them to share in savings they generate after meeting defined quality and cost goals.

In 2022, nationally, 482 ACOs caring for 13 million beneficiaries participated in the MSSP, generating gross savings of $4.3 billion based on the Centers for Medicare & Medicaid Services methodology for setting financial benchmarks. After accounting for shared savings earned by ACOs in 2022, estimated net Medicare savings were $1.8 billion.

“The Medicare ACO shared savings program is the largest value-based payment model in the country and a critical tool in moving the health system toward better value,” Dr. Patrick McGill said.

About Community Health Network
Headquartered in Indianapolis, Community Health Network has been deeply committed to the communities it serves since opening its first hospital, Community Hospital East, in 1956. Community Health Network puts patients first while offering a full continuum of healthcare services, world-class innovations and a new focus on population health management. Exceptional care, simply delivered, is what sets Community Health Network apart and what makes it a leading not-for-profit healthcare destination in central Indiana. For more information about Community Health Network, please visit eCommunity.com.

About IHCI ACO
IHCI ACO provides the operations needed to support value-based care and specific population health efforts. The primary goals are to identify best practices for population health in collaboration with the participants, create strategies for deploying solutions, and support participants with people, process and tools needed for ACO patient populations. To learn more about our ACO, visit innovativeHCIndiana.org.

Kris Kirschner, Director Corporate Communications, Community Health Network
Kris Kirschner
Director, Corporate Communications