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Hospital charges: analysis and comparison.

A M Sear1

  • 1Department of Health Policy and Management, University of South Florida, Tampa.

Health Care Management Review
|January 1, 1989
PubMed
Summary
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Comparing hospital charges is difficult due to varying patient complexity. This study introduces a method using Blue Cross claims data for more accurate interhospital charge comparisons, improving healthcare cost analysis.

Area of Science:

  • Health Services Research
  • Healthcare Economics
  • Medical Informatics

Background:

  • Comparing hospital charges is complex due to variations in patient case mix and illness severity.
  • Existing methods for interhospital charge comparison lack robustness.
  • Accurate cost analysis is crucial for healthcare policy and patient decision-making.

Purpose of the Study:

  • To present a novel method for valid interhospital comparisons of healthcare charges.
  • To address the limitations of existing comparative charge studies.
  • To leverage readily available claims data for improved financial analysis.

Main Methods:

  • Utilized Blue Cross claims data for analysis.
  • Developed a methodology to account for case mix and severity differences.

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  • Focused on interhospital comparisons of billed charges.

    • Main Results:

    • The proposed method enhances the validity of interhospital charge comparisons.
    • Blue Cross claims data provide a feasible resource for this type of analysis.
    • Demonstrated a more reliable approach to assessing hospital financial data.

    Conclusions:

    • The presented method offers a valid approach to comparing hospital charges.
    • Claims data are a valuable, underutilized resource for healthcare cost research.
    • This methodology can improve transparency and accuracy in healthcare pricing.