Oak Street Health’s Accountable Care Organization Delivered 4th Highest Savings Rate out of 513 Organizations In 2020

Rhea-AI Summary

Oak Street Health (NYSE: OSH) announced that its accountable care organization, Acorn Network, achieved the fourth highest savings rate of 16.86% among 513 ACOs in the Medicare Shared Savings Program for 2020. This is significantly above the average savings rate of 4%. The company also noted a dramatic reduction in patient hospital admissions (51%), 30-day readmissions (42%), and emergency department visits (51%). Oak Street Health operates over 100 centers across 18 states and participates in the CMS Direct Contracting program.

Positive

• Acorn Network achieved the fourth highest savings rate of 16.86% in CMS's MSSP, surpassing the average of 4%.
• 51% reduction in patient hospital admissions compared to Medicare benchmarks.
• 42% reduction in 30-day readmission rates.
• 51% reduction in emergency department visits.
• Maintained a Net Promoter Score of 90, indicating high patient satisfaction.
• Participating in the CMS Direct Contracting program presents opportunities for further financial success.

Negative

• None.

CHICAGO--(BUSINESS WIRE)-- Oak Street Health, Inc. (NYSE: OSH, or the “Company”), a network of value-based primary care centers for adults on Medicare, today announced that Acorn Network, LLC, the Company-led accountable care organization (ACO), had the fourth highest savings rate of all 513 ACOs that participated in the Medicare Shared Savings Program (MSSP) in 2020, based on data from the Centers for Medicare and Medicaid Services (CMS). Acorn’s savings rate was 16.86% compared to 4% on average for the participating organizations.

“Oak Street Health is leading the way forward with a clinical model that delivers superior health outcomes and saves money - critical factors to fix America’s broken healthcare system and advance our mission of rebuilding healthcare as it should be,” said Dr. Griffin Myers, Chief Medical Officer of Oak Street Health. “We are pleased by the savings our ACO delivered in 2020, despite the challenges of a global pandemic. We look forward to continuing to improve access to high-quality primary care for our patients, and deliver significant cost savings.”

The Company is now one of 53 organizations participating in the CMS Direct Contracting program, which began in April 2021. Myers continued, “Oak Street Health appreciates CMS’ leadership in value-based care programs and we are proud to work together to drive innovation. We look forward to a strong performance in the Direct Contracting program this year.”

Since its founding in 2012, Oak Street Health has driven an approximately 51% reduction in patient hospital admissions compared to Medicare benchmarks, a 42% reduction in 30-day readmission rates and a 51% reduction in emergency department visits, all while maintaining a Net Promoter Score of 90 across patients.

To learn more about Oak Street Health’s value-based primary care model, click here.

About Oak Street Health

Founded in 2012, Oak Street Health is a network of value-based primary care centers for adults on Medicare. With a mission of rebuilding healthcare as it should be, the Company operates an innovative healthcare model focused on quality of care over volume of services, and assumes the full financial risk of its patients. Oak Street Health currently operates more than 100 centers across 18 states. To learn more about Oak Street Health’s proven approach to care, visit oakstreethealth.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211001005072/en/

Media Contact:

Erica Frank

Vice President of Public Relations

Erica.Frank@oakstreethealth.com

Investors Contact:

Sarah Cluck

Head of Investor Relations

Sarah.Cluck@oakstreethealth.com

Source: Oak Street Health

FAQ

What was Oak Street Health's savings rate in the Medicare Shared Savings Program?

Oak Street Health's Acorn Network achieved a savings rate of 16.86% in the Medicare Shared Savings Program.

How does Oak Street Health compare to other ACOs?

Oak Street Health's Acorn Network had the fourth highest savings rate among 513 ACOs.

What are the reductions in patient hospital admissions reported by Oak Street Health?

Oak Street Health reported a 51% reduction in patient hospital admissions compared to Medicare benchmarks.

What is Oak Street Health's Net Promoter Score?

Oak Street Health maintained a Net Promoter Score of 90, reflecting high patient satisfaction.

What program is Oak Street Health participating in since April 2021?

Oak Street Health is participating in the CMS Direct Contracting program.