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Expanded Hospice Improved Care But Raised Medicare Costs

A large study examined the impact of growth in Medicare’s hospice benefit among nursing home residents between 2004 and 2009 and found improvement in indicators of care quality, such as less reliance on intensive care and feeding tubes, but that came with increased costs to Medicare of $6,761 per patient on average. Early in the history of the Medicare hospice benefit, care was most likely to be provided by non-profit organizations, and that was how politicians sold the Medicare expansion to taxpayers – that hospice growth would save Medicare money by reducing expensive, aggressive end-of-life treatments such as hospital intensive care, because groups did it out of compassion. But once a lot of government money is involved, things change. Read more…

 

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