Dec 4 2019 | Thought Leadership | By

Strategic Opportunity in Direct Contracting

CMS recently announced the “Request for Applications” for its new Direct Contracting (DC) program. As currently proposed, the program offers a potentially market share-shifting opportunity that could change how FFS Medicare is delivered. While this is not a mandatory program, this is a key time to consider competitor actions that could impact your future Medicare business and primary care strategy.

Given that the LOI is non-binding, is your organization planning to submit a non-binding letter of intent (LOI) by the December 10th deadline? Consider maintaining optionality to participate while you gain intelligence about the program, mobilize leadership, and assess market positioning.

Potential opportunities for health systems and providers in Direct Contracting:

  • Align closely with Medicare beneficiaries for higher quality, cost effective care
  • Prepare for downside risk even if new to risk programs
  • Align program activities with Medicare Advantage population and programs
  • Enhance value-based primary care strategy for Medicare and other populations
  • Avoid being disintermediated by new entrants or existing competitors that pursue Direct Contracting

How can health systems succeed in managing risk?

Work with an operating partner such as Lumeris to develop the infrastructure necessary to manage Direct Contracting risk and deliver high quality, cost effective patient-centered care.

Also, be sure to register for our webinar on December 10th at 12:00 PM CT entitled, “Strategic Implications: The CMS Direct Contracting Model” and gain strategic considerations on how to assess DC amidst your value-based care portfolio.

Not sure where to start? Talk to one of our advisors.

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