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Costs and cost containment in nursing homes
Health Services Research
|January 1, 1981
Summary
This study analyzed factors influencing nursing home care costs and cost-saving strategies in California. Key predictors affected patient day costs, and administrators utilized various cost containment techniques.
Area of Science:
- Healthcare Management
- Nursing Home Administration
- Health Economics
Background:
- Rising healthcare costs necessitate efficient management in long-term care facilities.
- Understanding cost drivers is crucial for financial sustainability in nursing homes.
- Quality of care must be balanced against the economic pressures faced by facilities.
Purpose of the Study:
- To investigate the relationship between structural/process variables and the cost of nursing home care.
- To identify predictors of cost per patient day in nursing homes.
- To explore the range of cost containment methods employed and their utilization predictors.
Main Methods:
- Analysis of data from 43 nursing homes in California.
- Statistical examination of structural and process variables impacting care costs.
- Identification of factors influencing the adoption of cost containment strategies.
Main Results:
- Several predictors were found to be statistically significant in relation to cost per patient day.
- A diverse array of cost containment techniques was identified.
- Strong predictors for the utilization of these techniques by administrators were discovered.
Conclusions:
- Specific structural and process variables significantly influence nursing home care costs.
- Nursing home administrators employ a variety of cost containment strategies.
- The study highlights the complex interplay between the cost of care and its quality.