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Healthcare Insights

Top 10 Medicare Shared Savings Program ACOs by savings generated as a percent of benchmark spending

The Medicare Shared Savings Program (MSSP) helps healthcare providers and suppliers establish accountable care organizations (ACOs) to coordinate care and resources around specific populations. ACOs are integral to the improvement of population health.

We recently explored the top 10 ACOs by shared savings earned, and now we’ll look at the top ACOs by total benchmark spending in 2021.

Medicare sets a benchmark for each ACO’s spending target, based on the total cost of care per ACO beneficiary. Medicare sets the benchmarks based on historical expenditures, regional and national expenditure trends, and changes in population risks over time.

An effective way to evaluate an ACO’s performance is to look at the generated savings as a percentage of their total benchmark spend. Below, we’ve ranked the top ACOs who generated the most savings against their benchmark spending target.

Top 10 ACOs by benchmark spending in 2021

RankDefinitive IDACO NameStateGenerated savings as a % of total benchmark spending Explore dataset
1800678Aledade PA MSSP PMAMD16.90%Explore
2552196Asian American Accountable Care OrganizationNY15.70%Explore
3829025Physicians ACOFL15.50%Explore
41010011Aledade Accountable Care 43MD15.40%Explore
5846871Citrus ACOFL15.30%Explore
6574748The Premier Health Care NetworkGA15.20%Explore
7963582Aledade Accountable Care 37MD13.90%Explore
8800773Orange Accountable Care of New YorkFL13.80%Explore
91002254California Clinical Partners ACO LLCFL13.40%Explore
10846849Aledade Louisiana ACOMD13.40%Explore

Fig. 1 Data from the Definitive Healthcare ConnectedCareView product. ACO data is sourced from the Centers for Medicare & Medicaid Services and proprietary research. Data accessed January 2023. 

Which ACO ranks first for most savings generated as a percentage of benchmark spending in 2021?

Aledade PA MSSP PMA ranks first for ACOs for generated savings, with 16.90% of their benchmark spending target. In second is the Asian American Accountable Care Organization, with 15.70% of savings against their benchmark spending target, and in third is Physicians ACO, with 15.50%.

What is an ACO?

An accountable care organization is a network of healthcare providers like hospitals or physicians that deliver coordinated care to patient populations. ACOs were created in 2011 and ensure patients receive the right type of care when they need it. Furthermore, ACOs reduce medical errors and duplication of services. ACOs are especially impactful for individuals living with chronic conditions, as they ensure access to care across providers and specialties.

What is the difference between MSSP and ACO?

An ACO is a network of healthcare providers and facilities. The MSSP is a program that healthcare providers use to create an ACO.

How does the Medicare Shared Savings Program work?

The Medicare Shared Savings Program offers a few tracks that ACOs can choose from. The MSSP lets providers and suppliers—like hospitals or physicians—create an ACO that is then accountable for the cost, quality, and experience of the assigned Medicare fee-for-service beneficiary population. The MSSP helps promote values and outcomes over volume because it promotes accountability for the patient population.

Learn more

Healthcare Insights are developed with healthcare commercial intelligence from the Definitive Healthcare platform. Want even more to see the actual spending amount and savings generated each ACO? Start a free trial now and get access to the latest healthcare commercial intelligence on hospitals, physicians, and other healthcare providers.