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Administrative Data and Hospice Care
Author Bios
Introduction
Health Insurance Data
Currently selected section: Basis for Payment Data
Hospice Claims Data
The Medicare Model
Claims Data Uses
Hospice & Palliative Care
Statistical Challenges
Correct Denominators
Starting the Clock
Costs of EOL Care
Conclusions


Chapter 18: Using Adminstrative Data to Study Hospice Care: A Closer Look at the Basis for Payment Data
         

The basis for payment for most service providers is what was done and not why the patient needed the care. Generally the diagnosis does not contribute to the payment calculation beyond this general test of appropriateness. Thus occasionally diagnoses are not accurate, but they have to fit the bill well enough for routine audit. Diagnoses may well be more problematic when a patient has many co-morbidities because, in such cases, several diagnoses could justify the claim.

The major exception to the pattern of paying for services (with diagnoses as a check on appropriateness) is hospitals, where payment is based on Diagnostic Related Group (DRG). DRGs group together patients with similar diagnoses and health care needs. DRGs take into account diagnosis, procedures, and whether a patient received medical or surgical services. Often, the same patient can have their condition coded several different ways, all of which are correct. Click here for a case study illustrating this situation.

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