Deficit reduction act: effects on utilization of noninvasive musculoskeletal imaging

Scott Kennedy1, Howard P Forman

  • 1Department of Diagnostic Radiology, NewYork-Presbyterian Hospital/Cornell Medical Center, 1320 York Ave, #27K, New York, NY 10021, USA. scott.kennedy@aya.yale.edu

Radiology
|April 27, 2012
PubMed
Abstract

Insights

The Deficit Reduction Act (DRA) payment cuts slowed the growth of in-office noninvasive musculoskeletal imaging. However, nonradiologist utilization of nonradiographic imaging continued to grow faster than radiologist utilization post-DRA.

Area of Science:

  • Health Economics
  • Medical Imaging Utilization
  • Policy Impact Analysis

Background:

  • The Deficit Reduction Act (DRA) introduced payment reductions impacting in-office imaging services.
  • Understanding the effects of these policy changes on the utilization of noninvasive musculoskeletal imaging is crucial for healthcare providers and policymakers.

Purpose of the Study:

  • To evaluate the impact of Deficit Reduction Act (DRA) payment reductions on the utilization of noninvasive musculoskeletal imaging, specifically focusing on in-office procedures.

Main Methods:

  • Utilized Medicare Part B Physician/Supplier Procedure Summary Files from 2004, 2006, and 2008.
  • Employed descriptive statistics and weighted linear regression to analyze 111 relevant procedure codes.
  • Assessed changes in utilization growth rates between pre-DRA (2004-2006) and post-DRA (2006-2008) periods.

Main Results:

  • A 2% deceleration in per capita utilization growth rate for in-office imaging and a 0.7% deceleration in outpatient settings were observed post-DRA.
  • Both nonradiologist and radiologist utilization continued to grow, with nonradiographic imaging showing notable increases.
  • In-office settings demonstrated a dose-response relationship: larger DRA payment reductions correlated with greater utilization deceleration (approx. 0.2% for every 1% reimbursement reduction).

Conclusions:

  • The DRA's payment reductions led to a decreased growth rate in in-office noninvasive musculoskeletal imaging performed by both nonradiologists and radiologists.
  • Despite the deceleration, in-office nonradiographic imaging performed by nonradiologists exhibited significantly faster growth compared to that performed by radiologists following the DRA implementation.

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