should costs matter in healthcare decision making?- 2015 policy prescriptions® symposium
TRANSCRIPT
Should Costs Matter in Your Decision-Making?
Laura Medford-Davis, MDRobert Wood Johnson Clinical Scholar
University of Pennsylvania Emergency Medicine
Do You Know How Much We Charge?
$1000-2000 $2000-3000 $3000-4000 $>40000.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
CT Abdomen and Pelvis with Contrast
Do You Know How Much We Charge?
$1000-2000 $2000-3000 $3000-4000 $>40000.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
$5,620
CT Abd $2,876 CT Pelvis $2,317 IV Contrast $178 Gastroview $29.80 Physician Fee $219 Total $5,620
CT Abdomen and Pelvis with Contrast
Do You Know How Much We Charge?
• Median Charge for ED Visit: $1,233– Kidney Stone $3,437 (Range $128 - $39,408)– Cold/URI $740 (Range $19 - 17,421)
Hsia et al. PLoS ONE 2013.
Typical ER Bill-Facility ChargesService Quantity Total ChargeLevel 4 ER Visit 1 $954Conscious Sedation 1 $22Ankle XR 2 $586BMP1 $199CBC 1 $133Coags PT 1 $15Coags PTT 1 $108Dilaudid 1mg/ml 4 $12.16Propofol 10mg/ml 2 $19.20IV Push 2 $136
TOTAL $2,184.36
Typical ER Bill-Professional ChargesService Quantity TotalLevel 4 ER Visit 1 $329Conscious Sedation 1 $200Ankle XR 2 $116Lower Leg Splint 1 $475
TOTAL $1,120
Typical ER Bill-CostsTOTAL $2,184.36Medicare -$424.85Insurance Adjustment -$1,657.12
Patient Responsibility $102.39
We Spend…A Lot
• $2.7 Trillion – spent in the US in 2011
• $8,680 – per American
• 17.9% - Percent of GDP
• 21.8% - Spent on top 1% of patients
Healthcare Spending for a Family with Average Income $66,570
Premium Contribution $3,100Out-of-Pocket Costs $1,952Tax contributions to government health programs $4,664Foregone Wages $6,482
TOTAL $16,198
Polsky D, Grande D. N Engl J Med 2009;361:437-439.
Effects on Patients
• 41% have trouble paying medical bills• Medical bills are the #1 cause of bankruptcy– 3 in 5 bankruptcies
Commonwealth Fund Health Insurance Survey 2012
Choosing Wisely
1. CT Head for low-risk head injury2. CT Head for Syncope and normal neuro exam3. CT A/P for kidney stones4. Foley Catheters5. Wound cultures for I&Ds6. IVF for kids without PO challenge7. CT PE if PERC Negative8. Spine imaging for low back pain9. Antibiotics for sinusitis10.Futile end-of-life care in the ED
The Future• Increased Price Transparency• CMS Paying for Value• ACA Exchange Plans– Narrow Networks– Higher deductibles
Key Takeaways
1. We spend A LOT on healthcare2. Costs affect our patients3. The future is moving toward Value