Stellar Health's MSSP ACO Achieves $5M Medicare Savings with Tech-Enabled Model

Stellar Health's wholly-owned Medicare Shared Savings Program (MSSP) Accountable Care Organization (ACO), known as shaco, reported $5.0 million in gross Medicare savings for the 2024 performance year.

This included $2.45 million in shared savings, achieving a 5.3% gross savings rate, outperforming the 4.7% average gross savings rate among all ACOs in 2024 as per CMS data. These results highlight shaco's effective tech-enabled approach which boosts provider engagement and improves patient outcomes through transparent financial incentives tied to high-value clinical activities such as closing care gaps and medication adherence.

Shaco utilizes Stellar Health's platform and micro-incentive technology to deliver monthly rewards that encourage providers to focus on clinical performance without concerns over complex year-end bonuses or shared loss payments. Additionally, it offers extensive support through advanced medical economics, actuarial analytics, and actionable insights spanning the patient journey to optimize total cost of care and clinical quality at scale. For Stellar Health's payer partners, shaco serves as a model converting cost savings into validated best practices, supporting health plan success with innovations like their Transitions of Care product. Following a robust 2024, shaco expanded its Original Medicare population threefold in 2025 and aims to transition to an Enhanced ACO track in 2026, while launching a second ACO to support a growing network of over 50 medical groups and 750 providers covering more than 60,000 lives.

The model underscores a shift in value-based care by aligning financial incentives with clinical outcomes, reinforcing shared accountability among providers and payers.