As hospices prepare for Medicare Advantage, more nonprofits are finding that creating partnerships or entering affiliations will better position themselves for payer negotiations. Nonprofit hospice affiliations have surged in 2022 and 2023. This is in addition to the creation of several regional collaborative networks and the formation of new Accountable Care Organizations (ACOs). The gradual move towards value-based payment models is one of the biggest drivers for these types of arrangements, including the hospice component of the value-based insurance design (VBID) demonstration, according to Sue Lyn Schramm, founder and principal of Schramm Consulting LLC.
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