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Experimental Medicare System Saved US Govt $384 Million, New Study Finds
International Business Times

New payment models for doctors and hospitals that are being tested have saved the U.S. government $384 million in Medicare spending over the past two years, a study released Monday states. The study by the Department of Health and Human Services touted the results of the new models, known as Pioneer Accountable Care Organizations. Yet even with the hundreds of millions of dollars in savings, the nuances of the study suggested that the Pioneer Accountable Care Organizations did not necessarily save money on a consistent, regular or predictable basis.

As part of the Affordable Care Act, the landmark legislation of 2010 also known as Obamacare, the Centers for Medicare and Medicaid has promoted Pioneer Accountable Care Organizations as one of the best ways to cut spending. They are among several models that pay doctors and hospitals by the quality of the care they give to patients, rather than the quantity. In January, the government announced that by 2018, it wanted to see 50 percent of Medicare payments tied to such models.