Which of the following is a provision that Advanced APM entities must agree to?

The correct choice highlights a fundamental requirement for Advanced Alternative Payment Models (APMs) under the Medicare program. Advanced APMs are designed to incentivize providers to deliver high-quality care while managing costs effectively.

Bearing more than nominal risk for financial losses is crucial as it ensures that participating entities have a financial stake in the outcomes of the care they provide. This risk-sharing element encourages providers to improve efficiencies, manage patient populations proactively, and invest in quality care delivery, as they are more likely to be held accountable for costs and outcomes.

In contrast, other options do not align with the definitions and requirements established for Advanced APM entities. The use of paper records is not a condition tied to Advanced APMs, which typically promote the use of electronic health records (EHRs) for better data management and patient care. The income derived from Medicare does not have stipulations regarding limiting to less than 50%; rather, Advanced APMs can include varying levels of Medicare funding. Additionally, limiting the number of physicians on staff does not relate to the structure of Advanced APMs, which focus more on care coordination and quality outcomes rather than the specific staffing levels of a practice.

Overall, accepting financial risk is a cornerstone of the Advanced A