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Out-of-pocket Costs and Total Payments for Common Congenital Hand Difference Procedures
Gordon C Wong1, Yuxiao Nie2, Lu Wang2
1From the Section of Plastic Surgery, Department of Surgery, University of Michigan Medical School, Ann Arbor, MI.
Insights
Children’s congenital hand difference surgery costs are substantial, with significant financial burdens varying by procedure and region. High-deductible plans increase costs, necessitating policy interventions for equitable access to care.
Area of Science:
- Pediatric Surgery
- Health Economics
- Congenital Hand Differences
Background:
- Rising healthcare costs place a significant financial burden on patients and families in the U.S.
- Families of children with congenital hand differences (CHDs) undergoing surgery are particularly vulnerable to these costs.
- Limited data on surgical costs for CHDs hinder efforts to address healthcare inequities.
Purpose of the Study:
- To analyze the financial burden of congenital hand difference surgery in children.
- To identify cost variations based on procedure type, insurance, region, and surgical setting.
- To inform policy recommendations for mitigating costs and ensuring equitable access to care.
Main Methods:
- Utilized the MarketScan Commercial Claims database (2016-2022) for children aged 5 and under undergoing CHD surgery.
- Collected data on total and out-of-pocket payments, adjusting all costs to 2022 dollars.
- Employed linear regression to analyze cost trends and disparities.
Main Results:
- Analyzed 3070 cases; trigger thumb release and syndactyly repair were most common.
- Median total payment was $3763, with median out-of-pocket costs at $544.
- Pollicization procedures had the highest median total payment ($11,882); constriction ring syndrome had the lowest ($2080).
- High-deductible health plans, Northeast region, and hospital settings were associated with higher total costs.
Conclusions:
- Children undergoing CHD surgery face considerable financial burdens, with costs varying significantly.
- Cost disparities exist based on procedure, region, insurance type, and provider specialty.
- Policy interventions are needed to reduce out-of-pocket expenses and address systemic cost variations for equitable care access.
Background:
Healthcare costs in the United States continue to rise, shifting an increasing financial burden onto patients. Families of children requiring surgery for congenital hand differences (CHDs) are particularly vulnerable, yet there are limited data on the costs associated with these procedures, hindering efforts to address healthcare inequities.
Methods:
Using data from the MarketScan Commercial Claims database from 2016 to 2022, we identified children aged 5 years or younger who underwent surgery for 5 common CHD conditions. Total payments and out-of-pocket payments, including deductibles, copayments, and coinsurance, were collected. Linear regression was used to analyze trends. All costs were inflation-adjusted to 2022 dollars.
Results:
The study included 3070 cases from 2016 to 2022, with trigger thumb release (70%) and syndactyly repair (16%) being the most common procedures. Median total payment across all procedures was $3763 (interquartile range [IQR] $4030), whereas median out-of-pocket payment was $544 (IQR $1376). Pollicization had the highest median total payment ($11,882 [IQR $16,915]), whereas constriction ring syndrome had the lowest ($2080 [IQR $3720]). High-deductible health plans were associated with higher total and out-of-pocket costs. Regional disparities were significant, with the Northeast having the highest total payments. Procedures performed in ambulatory surgical centers were associated with lower total payments but similar out-of-pocket costs compared with hospital settings.
Conclusions:
Children undergoing CHD surgery face substantial financial burdens, with significant variability in costs by procedure, region, insurance plan type, and provider specialty. Policymakers should prioritize measures to mitigate out-of-pocket costs and address regional and specialty-driven cost disparities to ensure equitable access to care.
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