Penalizing hospitals for bad care. September 2011. CMAJ. - 0 views
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a recent paper that suggests hospitals should receive payments according to outcomes
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The United States appears to already be moving along that track within its Medicare program. In 2005, the country’s Deficit Reduction Act mandated that Medicare eliminate payments associated with specific medical complications. Similarly, hospitals with high readmission rates will also receive less from Medicare under the Affordable Care Act of 2010.
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In 2009, under the Maryland Hospital Acquired Conditions Initiative, hospitals in the state stood to lose 0.5% of total inpatient revenue if they didn’t collectively reduce rates of specified postadmission complications such as urinary tract infection. Within a year, preventable complications dropped by almost 12%.
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adjusting risk for severity of illness and comorbid conditions so hospitals that treat more seriously ill patients aren’t unfairly penalized for higher rates of negative outcomes.
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Though the pay-for-outcomes payment model sounds good on paper, making it work in the health care system is another story, says Walter Wodchis, a professor of health care finance at the University of Toronto in Ontario. Linking negative outcomes to specific hospital procedures is difficult as there are many factors that affect how an individual reacts to a medical treatment: genetics, medical history, diet, fitness level and lifestyle, to name but a few.
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There have been many attempts to create risk-adjustment models, notes Wodchis, and the results haven’t been great.