Cost-cutting Proposals


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Six groups representing doctors, hospitals, insurance companies, health care workers and drug and medical device maufacturers are discussing cost-cutting proposals with the White House. "The hospital association is one of [the] groups that went to the White House on May 11 to announce their commitment to cut $2 trillion from the growth of health spending over 10 years. President Obama hailed the announcement as 'a watershed event.'”

The following six items are reasonable and undoubtedly will appear in various forms and forums over the next few months.  I list them with my reaction to each:

  1. Standardized insurance claim forms - Good (old) idea - sort of the super-bill idea like the HCFA 1500, UB 92 and other uni-bills, combined.  A great opportunity to use the only database available, however inflated to maximize billing--the claims trail.
  2. Employ health information technology and an electronic medical record - Wouldn't that help No. 1, above? Clearly, it will also be an opportunity to 'measure and manage,' a fundamental in health care reform.
  3. Coordinate care - Easier said than done
  4. Manage chronic diseases - Old story; very difficult even with aggressive case management although that is proven to help. (Same as #3?)
  5. Reduce hospital infections and readmissions.* (Same as #3 and #4)
  6. Prevent medical errors - good luck; even an EMR doesn't quite get that job done!

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The article from which this list came was really about not being able to differentiate non-profits from for-profits and the former wanting their tax-exempt cake and to eat it too!  Please note, a profiling strategy is essential to align incentives and get practitioners on the right track.  Please also note: See "Report Cards" as a "Primary Category", here to learn more about this aspect of health care reform.

Pear R. "Hospitals Mobilizing to Fight Proposed Charity Care Rules"NY Times. Published: May 31, 2009

* See also, "The Sentinel of Managed Care--Predicting Readmissions."

 

 

 

 

 

 

 

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