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LAN Sets Goal of Tying 100% of Traditional Medicare and MA Payments to Shared Accountability Models by 2025

October 30, 2019

McDermott+Consulting

On October 24, 2019, the Health Care Payment Learning and Action Network (LAN) hosted its annual Summit. The LAN set a new timeline for transitioning to payments tied to shared accountability alternative payment models (APMs) throughout the healthcare system. These new goals include tying 100% of Medicare Advantage and Traditional Medicare payments and 50% of Medicaid and Commercial insurance payments by 2025.

LAN defines shared accountability APMs as alternative payment models (APMs) with shared savings and downside risk; condition specific population-based payment; comprehensive population-based payment (e.g. global budget); and integrated finance and delivery system population-based payment.

LAN’s Goals to Transition to Payments Tied to Shared Accountability APMs

 

Medicaid

Commercial

Medicare Advantage

Traditional Medicare

2020

15%

15%

30%

30%

2022

25%

25%

50%

50%

2025

50%

50%

100%

100%

The LAN also recently launched the CEO Forum which is chaired by Dr. Mark McClellan, co-chair of the LAN, and is composed of 21 healthcare leaders from across the country who are committed to transitioning to value-based care. The CEO Forum provides guidance to LAN on opportunities for strengthening incentives and capacity to accelerate the transition to shared accountability models across markets.

Launched in 2015 by the U.S. Department of Health and Human Services, LAN is a public-private partnership whose mission is to accelerate the health care system’s transition to APMs by aligning efforts of the private and public sectors. More information about LAN is available on their website.

 

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For more information visit the McDermottPlus Payment Innovation Resource Center or contact Sheila Madhani at 202-204-1459/smadhani@mcdermottplus.com or Mara McDermott at 202-204-1462/mmcdermott@mcdermottplus.com.

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