Physician Quality Partners (PQP), New Hanover Regional Medical Center’s Accountable Care Organization (ACO), announced today that its Medicare Shared Savings Program ACO improved care quality for more than 18,000 Medicare beneficiaries and saved more than $5.3 million in Medicare spending in 2018. PQP achieved a quality score of 95.12 percent and reduced average cost of care by $282 per beneficiary.
Working collaboratively, New Hanover Regional Medical Center, the NHRMC Physician Group, and Intracoastal Internal Medicine, an independent practice in Wilmington, generated healthier outcomes for beneficiaries, reduced financial burdens to taxpayers, and earned shared savings of $2,471,136 to reinvest in the improvements required to move to a value-based care delivery model that rewards providers for improved health outcomes rather than volume. PQP’s savings of $282 per beneficiary far exceed national average spending reductions of $180 per beneficiary for physician-led ACOs and just $27 per beneficiary for hospital-led ACOs.
“We are proud to show that proactively managing preventative care, making primary care more accessible and convenient, and improving care coordination for the most vulnerable patients leads to improved health and lower costs for those we serve,” said NHRMC President and CEO John Gizdic. PQP has reduced hospitalization rates by 16 percent since their highest point in 2016, and in 2018 alone, reduced hospitalizations by 10 percent and emergency room use by 5 percent. All of these improvements keep beneficiaries healthier and happier, at home with family instead of in the hospital.
“We are pleased to be a leader in care quality, ensuring that every patient who walks through our doors receives appropriate, individualized medical care. For a second year in a row, PQP also attained the highest available Merit-Based Incentive Payment adjustment, validating our performance at the highest level of care quality,” said Dr. Amy Messier, Medical Director for PQP’s Shared Savings Program ACO and Chief Medical Information Officer of NHRMC.
PQP has been participating in the Shared Savings Program since 2016, and renewed its agreement with Medicare in July 2019 for another five and a half year term. The Centers for Medicare and Medicaid Services (CMS) regulates Medicare ACOs, providing key quality objectives and establishing financial benchmarks. The 548 ACOs across the country generated $739.4 million in total net savings in 2018.