An In-Depth Review of Physician Reimbursement for Digit and Thumb Replantation

Rachel C Hooper1, Jennifer M Sterbenz1, Lin Zhong1

  • 1Section of Plastic Surgery, Department of Surgery, The University of Michigan Medical School, Ann Arbor, MI.

Insights

Digit and thumb replantation yields significantly lower physician reimbursement than revision amputations, despite higher hospital earnings. This disparity impacts surgeon recruitment and retention for complex limb salvage procedures.

Area of Science:

  • Orthopedic Surgery
  • Hand Surgery
  • Health Economics

Background:

  • Digit and thumb replantation are complex procedures aimed at restoring function after traumatic amputation.
  • Revision amputation, while less complex, involves removing tissue and may be perceived as a simpler procedure.
  • Understanding the economic factors influencing the provision of these surgical services is crucial for healthcare policy and practice.

Purpose of the Study:

  • To compare physician and hospital reimbursement for digit and thumb replantation versus revision amputation.
  • To analyze reimbursement in relation to work Relative Value Units (wRVU) and Medicare Physician Fee Schedule (MPFS).
  • To identify economic barriers affecting the practice of replantation surgery.

Main Methods:

  • Utilized the 2009-2016 Truven Health MarketScan Research Databases to identify patient cohorts.
  • Included patients with digit or thumb amputations, dividing them into replantation and revision amputation groups based on inclusion criteria.
  • Extracted mean physician and hospital reimbursements, and compared wRVU and MPFS for various hand surgery procedures.

Main Results:

  • Replantation patients (n=219) had mean physician reimbursements of $3,938-$7,753 and hospital reimbursements of $30,683-$56,256.
  • Revision amputation patients (n=6,209) had mean physician reimbursements of $1,030-$1,206 and hospital reimbursements of $2,877-$4,188.
  • Hospitals earned $37,788 more per replantation case; however, replantation reimbursed at $78/wRVU compared to higher rates for revision amputation and other common hand procedures.

Conclusions:

  • Low physician reimbursement for replantation, relative to less complex procedures, hinders surgeon recruitment and retention.
  • Understanding the wRVU and MPFS systems is essential for advocating for fair valuation of replantation.
  • Collaboration between hand surgeons, professional societies, and CMS is needed to improve reimbursement policies for limb salvage procedures.
Abstract

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