tci Medicare Compliance & Reimbursement - 2003 Issue 12

Regional Payment Variation: MEDPAC CHURNS OUT NEW ANALYSIS OF USE, SPENDING DATA

Data being developed for the Medicare Payment Advisory Commission’s June report clearly suggest that quality of care tends to be lower in many states where beneficiaries use medical services at a high rate. Commission staff plotted per-beneficiary service use by state — adjusted to remove the influence of cost of services — against ordinal state rankings from a quality-of-care study published in the Jan. 17 Journal of the American Medical Association and found a strong trend line. “What jumps out at you is that many of the states with low adjusted service use have relatively high quality...

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