CMS Extends MA VBID Model, Hospice Benefit Component through 2030

Last week, the Centers for Medicare and Medicaid Services (CMS) announced plans to extend the Medicare Advantage (MA) Value-Based Insurance Design Model for five more years, through 2030.

According to the American Hospital Association, 52 Medicare Advantage organizations with a collective 9.3 million enrollees are participating int he model this year. CMS is planning to introduce changes to support health-related social needs and health equity.

Notably, the Hospice Benefit Component will be included in the extension. Hospice News explains that the emphasis on VBID by CMS demonstrates an industry-wide shift towards social determinants of health and other non-medical needs in healthcare. VBID allows MA plans to target benefit designs based on patient needs as they relate to chronic conditions and socioeconomic characteristics.

Hospice News also notes that the hospice component extension signals that hospices should expect greater interaction with MA plans, which will change how hospices relate to insurers. From Jordan Holland, vice president of value-based contracting for Compassus:

MA plans are very used to these types of newer collaborative models on the provider side, just not yet in our space as much. So I think [VBID] really gives us the opportunity to come to them with solutions.

More information on MA VBID extension and the Hospice Benefit Component can be found at CMS.