Medicare Advantage reimbursement structures impact home health delivery and outcomes

Medicare Advantage (MA) plans provide fewer home health (HH) services than traditional Medicare (TM), but MA plans vary in how they reimburse HH agencies. Like TM, episodic MA plans allow agencies to determine the number and type of visits. Alternatively, per-visit MA plans dictate a specific number of visits and which disciplines provide them. This study examined differences in HH care delivery and patient outcomes among TM, episodic MA, and per-visit MA plans.

Secondary analysis of HH agency data from January 2019 to December 2022.

For 285,297 HH stays, we used inverse probability of treatment weighting regression to compare TM vs each MA plan type and per-visit vs episodic MA plans. We examined HH length of stay; number of visits from nursing, therapy disciplines, social work, and aides; transfer to an inpatient facility during HH; improvement in self-care and mobility function; and community discharge.

Compared with TM, both MA plans had shorter stays and fewer visits from nursing, therapy, and aides, and episodic MA plans had fewer social work visits. Comparing MA plans with each other, per-visit MA had 2.3% shorter stays, 3.0% more physical therapy visits, and 6.8% fewer social work visits vs episodic MA. Differences in outcomes between MA and TM varied by MA plan type, but compared with TM, per-visit MA had a 6% higher likelihood of inpatient transfers (95% CI, 1.02-1.10). Comparing MA plans, per-visit MA had a 12% higher likelihood of inpatient transfers (95% CI, 1.06-1.18) than episodic MA.

Episodic MA plans, which allow HH agencies flexibility in determining visit delivery, may have fewer adverse inpatient transfer outcomes compared with MA plans that dictate the amount and type of care provided.