Which statement is true about accountable care organizations?

Which statement is true about accountable care organizations?

• A. They operate under fee-for-service payments.
• B. They rely solely on patient satisfaction scores.
• C. They commonly use a capitated cost model of care.
• D. They do not participate in cost management.

Answer: (C)

Accountable care organizations are built around accountability for both cost and quality across a defined patient population, with payment structures that motivate efficient, coordinated care. A capitated cost model—where providers receive a fixed amount per patient over a period to cover all or most of the patient’s care—fits that goal by giving a predictable budget and incentives to avoid unnecessary services while coordinating care. This is why the statement about using capitated payments is the best fit. It's not accurate to say ACOs operate only under fee-for-service payments, since the model emphasizes cost management and value, often with risk-based or population-based payments. Relying solely on patient satisfaction scores ignores the broader quality and cost metrics that drive ACO performance. And claiming they do not participate in cost management contradicts the whole purpose of an ACO, which is to control spending while maintaining or improving quality.

Accountable care organizations are built around accountability for both cost and quality across a defined patient population, with payment structures that motivate efficient, coordinated care. A capitated cost model—where providers receive a fixed amount per patient over a period to cover all or most of the patient’s care—fits that goal by giving a predictable budget and incentives to avoid unnecessary services while coordinating care. This is why the statement about using capitated payments is the best fit.

It's not accurate to say ACOs operate only under fee-for-service payments, since the model emphasizes cost management and value, often with risk-based or population-based payments. Relying solely on patient satisfaction scores ignores the broader quality and cost metrics that drive ACO performance. And claiming they do not participate in cost management contradicts the whole purpose of an ACO, which is to control spending while maintaining or improving quality.