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Health Aff (Millwood). 2006 Sep-Oct;25(5):1386-93.

Medicare payment for selected adverse events: building the business case for investing in patient safety.

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1
Agency for Healthcare Research and Quality, Rockville, Maryland, USA. czhan@ahrq.gov

Abstract

This study estimates that Medicare extra payments under the hospital prospective payment system (PPS) range from about $700 per case of decubitus ulcer to $9,000 per case of postoperative sepsis in the five types of adverse events identifiable in Medicare claims. Medicare extra payment for the five types of events totals more than $300 million per year, accounting for 0.27 percent of annual Medicare hospital spending. But these extra payments cover less than a third of the extra costs incurred by hospitals in treating these adverse events. We conclude that both Medicare and hospitals gain financially by improving patient safety.

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PMID:
16966737
DOI:
10.1377/hlthaff.25.5.1386
[Indexed for MEDLINE]
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