What is Direct Contracting?

At the end of 2020, Centers for Medicare & Medicaid (CMS) announced a new payment model, known as the direct contracting model. This new model is a voluntary, five-year alternative payment model that aims to reduce healthcare costs for Medicare fee-for-service beneficiaries, while simultaneously enhancing their quality of care. A Direct Contracting Entity (DCE) is a legal entity that is participating in any one of the payment model options. Visit CMS.gov for more information.