Deerfield, Ill.-based Walgreens confirmed it ended partnerships over the last few months with two of three Medicare Shared Savings Program accountable care organizations launched in January 2013, according to AIS Health.
The two ACOs are Marlton, N.J.-based Advocare and Temple, Texas-based Scott & White Walgreens Well Network. Advocare, a 350-physician multispecialty group, saw beneficiaries' costs increase 4.2 percent against its first reporting year benchmark. Scott & White reported even costs for its first reporting year, but was ineligible to share in savings, according to the report. Walgreens plans to continue working with Scott & White on other joint clinical programs.
The retail pharmacy company plans to continue its ACO relationship with Largo, Fla.-based Diagnostic Clinic, according to the report. The 100-provider multispecialty practice successfully decreased hospital readmissions and generated 2.1 percent savings for Medicare. However, it was still ineligible to share in savings, according to the report.
Walgreens was the first pharmacy to partner with health providers on ACO initiatives. It helped manage the organizations and finance IT projects to share in savings.
Correction: An earlier version of this story incorrectly referred to Marlton, N.J.-based Advocare as Advocate. The story was updated Dec. 30 to correct the name. We regret this error.
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