Medical Home Finances Improving: Analysis

Practices and payers generally are able to derive overall savings from the use of the patient-centered medical home (PCMH) model, according to a review of recent research and analyses.

The fifth annual report of the Patient-Centered Primary Care Collaborative (PCPCC) examined research and analyses of PCMH programs released during a recent 12-month period and found growing evidence of long-term savings.

Among the 17 peer-reviewed PCMH studies during that time, nine of the 10 that designated cost as an outcome variable had improvement in one or more cost measures, such as emergency department (ED) costs or inpatient spending. However, not all nine studies reported on total cost of care.

Specific reported savings identified in the Vermont Blueprint for Health found total cost savings for the state and a return on investment of nearly 6 to 1. And two peer-reviewed studies from Blue Cross Blue Shield Michigan identified total cost of care savings, with one reporting a 4.4 percent lower cost among adults.

“What we are finding is the longer these practices have been implementing these models of care the more apt they are to see total cost of care savings,” Marci Nielsen, president and CEO of PCPCC, said in an interview.