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How ACO differ from HMOS

How ACO differ from HMOS

  • Briefly define an Accountability Care Organization (ACO) and how it impacts health care providers:
    1. How do ACOs differ from the health maintenance organizations (HMOs) of earlier years
    2. What role does health information technology (HIT) play in the newer models of care?
  • What is the benefit of hospitals partnering with primary care providers?
    1. How does bundling payments contain healthcare costs?
    2. How does pay for performance (P4P) improve quality care?
  • Briefly discuss the value-based purchasing program?
    1. How do value-based purchasing (VBP) programs affect reimbursement to hospitals?
    2. Who benefits the most from value-based reimbursement and why?
    3. How does the VBP program measure hospital performance?

Length: 1500-2000 words in length

Structure: Include a title page and reference page in APA format. These do not count towards the minimal word amount for this assignment. Your essay must include an introduction and a conclusion.

References: Use the appropriate APA style in-text citations and references for all resources utilized to answer the questions. A minimum of two (2) scholarly sources are required for this assignment.

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Answer preview

            The provision of healthcare has transformed in recent years with transformations in regulation, new policies, and the development of new and improved models of care such as ACO’s and HMOs. ACOs refer to collaborations between the teams of doctors and healthcare staff and facilities to offer coordinated and high-quality care. On the other hand, the HMOs are insurance programs characterized by the provision of healthcare services to a specific population through set prices. There are several differences between the two, such as network restrictions and lock-in provisions. The P4P model has also risen due to its strategic design o elevate healthcare quality through financial incentives. Besides, other approaches, such as healthcare bundling, guarantees cost efficiency by paying an overall sum for healthcare professionals handling the same or related conditions. The rapid development has aided all these healthcare information technology models, which has improved communication and coordination between the facilities, practitioners, and patients. Below is an overview of the differences between ACO and HMOs, healthcare bundling, pay for performance models, and value-based purchasing programs.