Primary Care Scorecard: Medicare undervalues primary care

Spending on primary care is steadily declining across Medicaid, Medicare, and commercial insurance, largely due to Medicare’s undervaluation of primary care services and the fee-for-service payment model that favors specialty care. As a result, health systems prioritize higher-revenue specialty services over primary care, leading to a weaker primary care foundation compared to other countries and even some lower-cost, high-performing U.S. health systems. Milbank Memorial Fund President Christopher F. Koller, MPPM, MA, explains this financial model.