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Related Experiment Video

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Implementation of a Real-Time Psychosis Risk Detection and Alerting System Based on Electronic Health Records using CogStack
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Local availability of physicians' services as a tool for implicit risk selection.

Amir Shmueli1, Esti Nissan-Engelcin

  • 1The Hebrew University-Hadassah School of Public Health, POB 12272, Jerusalem 91120, Israel. amirsh@ekmd.huji.ac.il

Social Science & Medicine (1982)
|March 23, 2013
PubMed
Summary

Health plans in Israel

Area of Science:

  • Health economics
  • Public health policy
  • Healthcare management

Background:

  • Competitive social health insurance systems rely on risk adjustment for fair budget allocation.
  • Inadequate risk adjustment can incentivize health plans to engage in risk selection.
  • Universal coverage necessitates implicit risk selection strategies, such as manipulating service quality and availability.

Purpose of the Study:

  • To investigate whether Israeli sickness funds strategically adjust physician availability based on local population characteristics.
  • To examine the relationship between town characteristics (health, wealth) and the availability of community health services.
  • To assess the implications of these practices for healthcare allocation and regulation.

Main Methods:

  • Empirical analysis of physician reception hours in five specialties across 60 Israeli towns in 2004.

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  • Correlation of service availability with socio-economic and demographic data (income, mortality rates, age).
  • Statistical controls for alternative explanations of observed disparities.
  • Main Results:

    • Significant correlation found between town characteristics and physician availability.
    • Healthier and wealthier towns exhibit greater competition and service availability.
    • Sicker and poorer towns show weaker competition and reduced service availability.

    Conclusions:

    • Israeli sickness funds appear to manipulate physician distribution based on local demographics, exploiting weaknesses in the age-only risk adjustment system.
    • This practice leads to inequitable and inefficient geographic allocation of health services.
    • The findings indicate a failure in healthcare regulation and resource distribution.