Health information technology to advance care in accountable care organizations: Implications for Medicare patients

Background: Prior research has explored the link between health information technology (HIT) and performance of accountable care organizations (ACOs). However, the challenges of HIT use in ACOs for the management of chronic diseases among Medicare beneficiaries remain less examined.

Purpose: Given the high costs of implementing HIT and the occurrence of multiple chronic conditions (MCC) among elderly individuals, it is important to understand the extent to which HIT capabilities enable chronic disease management among the Medicare population.

Methodology/approach: Regression analysis was conducted using data from multiple sources for the year 2017, including Leavitt Partners data, the ACO Public Use File published by the Shared Savings Program of the Centers for Medicare & Medicaid Services (CMS), and the CMS hospital referral region data. The sample consisted of 470 ACOs.

Results: Findings revealed that health information exchange (HIE)- and HIT-enabled patient engagement reduced unplanned admissions for Medicare patients with MCC. When primary care services were utilized, HIE- and HIT-enabled patient engagement and medication reconciliation further decreased unplanned admissions.

Conclusion: This study provides empirical support for HIT's role in reinforcing the applicability of the chronic care model to improve health outcomes.

Practice implications: From the managerial perspective, adopting HIT functions that support care management may be important for ACOs to improve patient outcomes.