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Impact of Complications on Resource Utilization During 90-Day Coronary Artery Bypass Graft Bundle for Medicare
Steven D Culler1, Phillip P Brown2, Aaron D Kugelmass3
1Rollins School of Public Health, Emory University, Atlanta, Georgia.
Insights
Adverse events during coronary artery bypass graft surgery (CABG) significantly increase Medicare costs. Managing these complications is crucial for hospitals in bundled payment programs to mitigate financial risk.
Area of Science:
- Health Economics
- Cardiovascular Surgery
- Healthcare Policy
Background:
- Coronary artery bypass graft surgery (CABG) is a major cardiovascular procedure.
- Understanding the financial implications of CABG is vital for healthcare providers and policymakers.
Purpose of the Study:
- To analyze the impact of adverse events during CABG on Medicare reimbursement.
- To quantify the additional costs associated with complications following CABG.
Main Methods:
- Retrospective analysis of 2014 Medicare claims data.
- Inclusion of 37,106 Medicare beneficiaries undergoing CABG.
- Identification of adverse events including renal failure, infection, stroke, and reoperation.
Main Results:
- Average total Medicare reimbursement for CABG and 90-day follow-up was $42,063.
- Patients with adverse events incurred an average of $15,941 more in reimbursement.
- New-onset hemodialysis, septicemia, stroke, and infection significantly increased costs by over $20,000.
Conclusions:
- Adverse events during CABG substantially increase financial risk for hospitals.
- Effective monitoring and reduction of adverse events are essential for the success of bundled payment programs.
- Managing post-CABG care across all venues is critical for controlling costs.
Background:
The study reports the impact of adverse events during the index coronary artery bypass graft surgery (CABG) on Medicare reimbursement for the index hospitalization and a 90-day follow-up period.
Methods:
This retrospective study used 2014 Medicare claims files for hospitals, skilled nursing services, rehabilitation facilities, long-term care facilities, home health services, and outpatient visits. The study sample is 37,106 Medicare beneficiaries that survived an index CABG in a US hospital during the first three quarters of 2014. Adverse events included acute renal failure, new onset hemodialysis, postoperative respiratory failure, any infection (postoperative infection, or sepsis), postoperative shock and hemorrhage, postoperative stroke, and reoperation during index hospitalization.
Results:
Total average Medicare reimbursement for all services consumed during index CABG hospitalization and the 90-day postdischarge period was $42,063 ± $23,284. The index CABG hospitalization accounted for $32,544 ± $14,406, 77.4% of the bundle. Medicare beneficiaries having at least one adverse event had significantly higher total average Medicare reimbursement by $15,941 ($54,280 versus $38,339) for the bundle compared with Medicare beneficiaries not having an adverse event. The risk-adjusted incremental Medicare reimbursement for the entire 90-day bundle exceeded $20,000 for four adverse events: new-onset hemodialysis, $33,250; septicemia, $32,063; postoperative stroke, $24,117; and postoperative infection, $23,801.
Conclusions:
Medicare beneficiaries who have adverse events during their index CABG hospitalization will significantly affect that hospital's financial risk. The challenge under the voluntary CABG bundled payment program will be to monitor and reduce adverse events and manage the services consumed by Medicare beneficiaries having adverse events delivered at all the venues of care.
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