CMS Announces New Payment Model to Improve Quality, Coordination, and Cost-effectiveness for Both Inpatient and Outpatient Care

The Centers for Medicare and Medicaid Services (CMS) Innovation Center announced a new voluntary bundled payment model under which providers can earn additional payment, beyond that for individual services performed, if all expenditures for a beneficiary’s episode of care are under a spending target. This Bundled Payments for Care Improvement Advanced (BPCI Advanced) model is intended to support investment in practice innovation and care redesign for improved quality and reduced expenditures. BPCI Advanced will qualify as an Advanced Alternative Payment Model (Advanced APM) under the Quality Payment Program.