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Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali Serrano, PsyD Director of Clinical Training, Center of Excellence for Integration, North Carolina Foundation for Advanced Health Programs Collaborative Family Healthcare Association 17 th Annual Conference October 15-17, 2015 Portland, Oregon U.S.A. Session # C1 October 16, 2015

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Page 1: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Economic Impact of An Integrated Behavioral Health Program

Kenneth Kushner, PhDProfessor, University of Wisconsin Department of Family Medicine

Neftali Serrano, PsyDDirector of Clinical Training, Center of Excellence for Integration,

North Carolina Foundation for Advanced Health Programs

Collaborative Family Healthcare Association 17th Annual ConferenceOctober 15-17, 2015 Portland, Oregon U.S.A.

Session # C1October 16, 2015

Page 2: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Faculty Disclosure

The presenters of this session• currently have or have had the following

relevant financial relationships (in any amount) during the past 12 months.

– Lead consultant, primarycareshrink.com

Page 3: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Learning Objectives

At the conclusion of this session, the participant will be able to:

• Describe the impact of insurance status on patient utilization of healthcare resources

• Describe the main conclusions of our study in terms of the effect of integrated behavioral health on overall inpatient and outpatient utilization

• Discuss the policy implications of the results of our study in the context of the larger literature on cost offset for mental health services

Page 4: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Bibliography / Reference

• Egede et al. Impact of Mental Health Visits on Healthcare costs in Patients with Diabetes and Comorbid Mental Health Disorders. PLoS One, 2014

• Park et al. Examining the Cost Effectiveness of Interventions to Promote the Physical Health of People with Mental Health Problems: A Systematic Review. Public Health, 2013

• Salvador-Carulla, L & Hernandez-Pena, P. Economic Context Analysis in Mental Health Care. Usability of Health Financing and Cost of Illness Studies for International Comparisons. Epidemiology and Psychiatric Services, 2011.

• Serrano, N. and Monden, K.The effect of behavioral health consultation on the care/ Wisconsin Medical Journal, 2011.

• Reiss-Brennan, B. Cost and quality impact of Intermountain's mental health integration program. Journal of Healthcare Management, 2010

Page 5: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Learning Assessment

• A learning assessment is required for CE credit.

• A question and answer period will be conducted at the end of this presentation.

Page 6: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Does Integrated Behavioral Health Result in Cost Savings?

6

Page 7: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Medical Cost Offset

“At some point, the reduction in medical costs may offset the cost of providing mental health services”

Pallak, Cummings et al (1993)

7

Page 8: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Cummings and Follett (1967)• Found that overall utilization of (non-

psychiatric) inpatient and outpatient medical services declined significantly among patients who received psychotherapy in a pre-paid health plan.• Declines persisted after the initial interview,

most significantly 2 years afterwards.• Control patients, who did not receive

psychotherapy, showed no decrease utilization.

8

Page 9: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Cummings and Follette (1976)

• Found the overall costs of medical care of patients who received 1 to 8 managed mental health treatments declined significantly, compared to matched controls, in the year following the treatments.

• The declines persisted after 5 years.

9

Page 10: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Pallak, Cummings et al (1993)

• Tracked medical costs for Medicaid enrollees in Hawaii.

• They found declines in overall medical costs for those who received managed mental health services, but not for those receiving traditional, unmanaged mental health intervention.

10

Page 11: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Pallak, Cummings et al (1993-Cont.)

• Declines in the managed mental health care group were attributable to decreases in:• Inpatient medical services• Outpatient medical services• Drug prescription• ED visits

11

Page 12: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Subsequent Studies

• Chronic illness (Schlesinger et al, 1983)• Anxiety and Depression (Fifer et al, 2003;

Goldberg et al, 1996; Korff et al, 1998)• Cancer (Carlson and Butz, 2004)• Substance abuse (Polen et al, 2006)• Diabetes (2014)

12

Page 13: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Reviews

• Cummings, O’Donahue and Ferguson (2002)• Mumford et al (1998)• Olfson, Sing and Schlesinger (1999)• Shemo (1995)

13

Page 14: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Meta-analysis

• Chiles, Lambert and Hatch (1999).• Found that the average savings resulting from

psychological intervention to be 20%.• In 1/3 of the articles, the savings were

“substantial” even after the costs of providing psychological services were factored in.

14

Page 15: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Cost Offset and Integrated Behavioral Health?

15

Page 16: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Study Parameters

• 12,300 Patients From Four Medical Homes• Selected based on having at least one encounter in a medical

home with a mood disorder diagnosis between 2004-2012• Data obtained from three area hospitals and several

specialty mental health providers• The analysis segmented utilization into four categories:

emergency department, inpatient psychiatry, inpatient medical, outpatient specialty mental health

• The final analysis used three years of utilization pre/post, following patients from the initial three year period into the subsequent period

16

Page 17: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Sample Demographics

17

Clinics Arm NAge 2012 (sd)

% Femal

eAfr. Am. Am.

Ind. White Hispanic None Commerci

al Medicaid

Medicare

Northeast C 2089 50.2 (15.0) 71.2 13.2 1.9 78.2 3.8 6.4 66.0 13.8 13.8

ACHC-S I 900 46.7 (13.2) 70.3 27.6 12.7 44.6 31.4 35.2 27.3 28.7 8.8

ACHC-E I 816 46.5 (12.8) 67.5 23.1 4.5 58.8 19.5 34.7 29.7 29.0 6.6

Wingra I 1458 48.1 (13.8) 71.1 25.2 4.8 60.0 15.2 11.9 52.7 24.0 11.3

Demographics Insurance

Page 18: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Pre Post N Pre Post NIntegrated Care

Control

None 2.91 3.10 774 2.34 2.25 134 6.5% -3.8%

Commercial

1.52 1.74 1257 1.11 1.23 1378 14.5% 10.8%

Medicaid 3.83 3.67 845 3.41 3.74 289 -4.2% 9.7%

Medicare 3.19 3.60 298 2.43 2.73 288 12.9% 12.3%

Total combined

2.63 2.76 3174 1.69 1.85 2089 4.9% 9.5%

Integrated Care Control % Change

EMERGENCY DEPARTMENT UTILIZATION

*

*

Page 19: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Pre Post N % Change

None 3.55 3.08 348 -13.2%

Commercial 1.35 1.38 1538 2.2%

Medicaid 5.16 4.75 700 -7.9%

Medicare 2.93 3.30 330 12.6%

Total combined 2.70 2.61 2916 -3.3%

Integrated CareControl % Change

EMERGENCY DEPARTMENT UTILIZATIONWingra Clinic Only, Pre/ Post

*

Page 20: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Pre Post N Pre Post NIntegrated Care

Control

None 2.95 4.97 774 3.51 3.92 134 68.47% 11.7%

Commercial

3.32 4.57 1257 4.13 4.79 1378 37.65% 16.0%

Medicaid 4.81 5.4 845 6.08 6.88 289 12.27% 13.2%

Medicare 7.1 8.29 298 7.13 10.27 288 16.76% 44.0%

Total combined

3.98 5.24 3174 4.78 5.78 2089 31.66% 20.9%

Integrated Care Control % Change

INPATIENT HOSPITAL UTILIZATIONNon-Psychiatric

*

*

*

*

Page 21: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Pre Post N % Change

None 4.10 5.68 348 38.5%

Commercial 3.56 4.01 1538 12.6%

Medicaid 5.80 6.84 700 17.9%

Medicare 7.16 7.61 330 6.3%

Total combined 4.57 5.29 2916 15.8%

Integrated CareControl

INPATIENT HOSPITAL UTILIZATIONWingra Clinic Only, Pre/ Post

Page 22: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

UTILIZATION COMPARISONS

Higher Overall ED Utilization Lower Overall Inpatient Utilization

Pre Post0

0.7

1.4

2.1

2.8

3.5 Control PCBH

Pre Post0

1.5

3

4.5

6

7.5 Control PCBH

Page 23: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

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Page 24: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Financial Impact, ED Medicaid

24

Integrated Care Control

Pre 3.83 3.41

Post 3.67 3.74

(Savings) Cost (-$162,000) $334,600

Estimate over a three year period, assuming per ED visit mean cost of $1200, with equivalent samples of 845 patients

Pre Post3.15

3.3

3.45

3.6

3.75

3.9

Control Integrated Care

*Cost/Savings estimates obtained by establishing the difference in visits (with equalized samples using the highest sample size of the two groups) between pre and post and multiplying that difference in visits by $1200 or the mean ED visit cost.

Page 25: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Financial Impact, ED Overall

25

Integrated Care Control

Pre 2.63 1.69

Post 2.76 1.85

(Savings) Cost $495,144 $609,408

Estimate over a three year period, assuming per ED visit mean cost of $1200, with equivalent samples of 3174 patients

Pre Post0

0.7

1.4

2.1

2.8

3.5

Control Integrated Care

*Cost/Savings estimates obtained by establishing the difference in visits (with equalized samples using the highest sample size of the two groups) between pre and post and multiplying that difference in visits by $1200 or the mean ED visit cost.

Page 26: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Financial Impact, Hospital Medicaid

26

Integrated Care Control

Pre 4.81 6.08

Post 5.4 6.88

(Savings) Cost $1,944,345 $2,636,400

Estimate over a three year period, assuming per hospital stay mean cost of $3900, with equivalent samples of 845 patients

Pre Post0

1.75

3.5

5.25

7

8.75

Control Integrated Care

*Cost/Savings estimates obtained by establishing the difference in visits (with equalized samples using the highest sample size of the two groups) between pre and post and multiplying that difference in visits by $3900 or the mean inpatient daily stay cost.

Page 27: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Financial Impact, Hospital Medicare

27

Integrated Care Control

Pre 7.1 7.13

Post 8.29 10.27

(Savings) Cost $1,383,018 $3,649,308

Estimate over a three year period, assuming per hospital stay mean cost of $3900, with equivalent samples of 298 patients

Pre Post0

2.75

5.5

8.25

11

Control Integrated Care

*Cost/Savings estimates obtained by establishing the difference in visits (with equalized samples using the highest sample size of the two groups) between pre and post and multiplying that difference in visits by $3900 or the mean inpatient daily stay cost.

Page 28: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Financial Impact, Hospital Overall

28

Integrated Care Control

Pre 3.98 4.78

Post 5.24 5.78

(Savings) Cost $15,597,036 $12,378,600

Estimate over a three year period, assuming per hospital stay mean cost of $3900, with equivalent samples of 298 patients

Pre Post0

1.5

3

4.5

6

7.5

Control Integrated Care

*Cost/Savings estimates obtained by establishing the difference in visits (with equalized samples using the highest sample size of the two groups) between pre and post and multiplying that difference in visits by $3900 or the mean inpatient daily stay cost.

Page 29: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

More Questions Than Answers

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Page 30: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Why?• Why did the control group do better with the uninsured and

the commercial population whereas the intervention group did slightly better with the Medicaid and Medicare groups?

• Are there differences between the medical home patient samples that were not captured by the data?

• Are sample sizes and risk exposure different between the groups?

• As a medical home grows and it achieves greater samples of these insurance subgroups does utilization regress to the mean?

• Why is there some evidence for mitigation of ED visits and increased hospital visits?

30

Page 31: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Factors To Consider• The medical homes overall have

different proportions of the different payer status subgroups

• It is possible that the intervention group medical homes had more dual eligible patients represented in the Medicare subgroup

• It is also possible that the commercial and uninsured populations differed between the medical homes due to the nature of the underserved population of the FQHC

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Do medical homes develop “orientations”?

Are there ways to quantify “harder" patients?

Is a commercial patient at an FQHC different than a commercial patient elsewhere?

Page 32: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

What Does This All Mean?

• Don’t trust utilization outcomes research that does not identify medical home composition, especially insurance status

• The impact of integrated care programs appear to have differential impact on patient groups and perhaps medical homes

• Financial significance does not always equal statistical significance

• There appears to be a mitigating impact of integrated care on ED utilization, especially in high utilizing subgroups like Medicaid but no impact on hospital utilization (medical only)

• Significant implications for payment reforms based on quality outcomes 32

Page 33: Economic Impact of An Integrated Behavioral Health Program Kenneth Kushner, PhD Professor, University of Wisconsin Department of Family Medicine Neftali

Session Evaluation

Please complete and return theevaluation form to the classroom

monitor before leaving this session.

Thank you!