Independence at Home Medicare Demonstration successful at lowering costs

CMS recently announced The American Academy of Home Care Medicine’s Independence at Home Medicare Demonstration practices were successful in improving care and lowering costs by $25 million in the first performance year.

IAH uses a targeted model to reduce costs among the 5 percent of Medicare beneficiaries with multiple chronic conditions accounting for 50 percent of Medicare's costs.

Most of the IAH practices achieved savings, but every IAH practice contributed to the success of the IAH Demonstration and all believe they will show savings when the Year Two results are released this year.

"These results support what most Americans already want that chronically ill patients can be better taken care of in their own homes,” CMS Acting Administrator Andy Slavitt said. “This is a great common sense way for Medicare beneficiaries to get better quality care with smarter spending from Medicare."

CMS reported that IAH medical practices saved more than $25 million during the first performance year. Medicare beneficiaries whose care is with an IAH practice also benefit through:
• Fewer hospital readmissions within 30 days;
• Follow-up contact from their provider within 48 hours of a hospital admission, hospital discharge or emergency department visit;
• Their medications are identified by their provider within 48 hours of discharge from the hospital;
• Their preferences documented by their provider; and
• Use inpatient hospital and emergency department services less for conditions such as diabetes, high blood pressure, asthma, pneumonia or urinary tract infection.
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