MedPAC Includes Chapter on Provider Consolidation in Report to Congress

In its report, MedPAC discusses the implications for the Medicare program of consolidation in the health care industry, finding evidence that consolidation among and between hospitals and physicians has increased prices without increasing quality. Three possible Medicare policy options for responding to consolidation include: 1) restraining Medicare prices rather than following increases in commercial prices; 2) site-neutral pricing; and 3) having Medicare Advantage plans, Accountable Care Organizations, and Fee-for-Service compete on a level playing field.

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Articles of Interest

  • Independent-Minded Physicians Turn to ACOs. Modern Healthcare, February 3, 2018.
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  • Smaller Practices Invest in Costly Transition to Value-Based Care. Healthcare Finance, July 6, 2017.
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