Formerly U.S. Medical Management, the home-based care company HarmonyCare raised $200 million in June. On Wednesday, it touted its success in the Accountable Care Organization (ACO) “REACH” Model, the successor to the The Global and Professional Direct Contracting Models (GPDC).

Put forth by the Centers for Medicare & Medicaid Services (CMS), ACO REACH gives private businesses – including home-based care providers – the opportunity to participate in risk-sharing agreements with traditional Medicare.

In 2023, HarmonyCares achieved a net savings rate of 23% in the “High Needs Track” of ACO REACH. That savings rate positions the company as the second-best cost saver involved in the model, according to the company.

Based in Troy, Michigan, HarmonyCares is a home-based primary care provider. The company delivers services to individuals with complex health needs across 14 states. Its model also includes home health, hospice, palliative care, radiology and laboratory services.

“Our strong performance in the High Needs Track of ACO REACH is a testament to HarmonyCares’ ability to deliver high-quality care for people with Medicare who are polychronic and homebound while also driving cost savings for the health care system,” HarmonyCares CEO Matt Chance said in a statement. “The High Needs Track of ACO REACH is uniquely designed for organizations like HarmonyCares that deploy care models dedicated to patients with complex needs. By eliminating socioeconomic barriers to care and focusing on proactive, in-home primary care, we’ve been able to significantly reduce unnecessary hospitalizations and improve patient outcomes, which translates directly into savings.”

The company also highlighted other achievements in ACO REACH, including: a 100% total quality score, driven by 99th percentile performance on the Days At Home measure and 90th percentile performance on the All-Cause Readmission measure; $9.1 million in savings driven by care for about 700 Medicare beneficiaries with complex health needs; and a gross savings rate of 26%.

HarmonyCares’ model is driven by in-home primary care, but also the wraparound services that provide social support to its patients.

The company’s recent funding round, which further validated its delivery model, was led by General Catalyst, McKesson Ventures and a “large national payer.”

The first performance year of ACO REACH was 2023, and it extends through 2026.

“Patients with complex needs are a smaller subset of the overall Medicare population, but they drive a disproportionate amount of spending,” HarmonyCares Chief Medical Officer Michael Millie said in a statement. “Our clinical quality and shared savings results demonstrate the effectiveness of our in-home primary care model under a value-based framework in helping patients stay healthy and at home. The High Needs Track of ACO REACH presents a unique opportunity to better manage care for patients with complex, polychronic care needs – who are also often the most socially and economically disadvantaged patients.”