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Avalere Shows Home Health Interventions Associated with Lower Medicare Spending and Re-Hospitalizations for Patients With Chronic Illness
Date:5/11/2009

eving payment reform is to ensure patients receive appropriate care in the most cost-efficient setting," said Alexis Ahlstrom, a director at Avalere Health. "Our analysis shows that home healthcare can be a prudent way to deliver post-acute care to certain Medicare beneficiaries."

Approximately 86 percent of the Medicare population has one chronic condition, 66 percent have two or more chronic conditions, and 40 percent have three or more chronic conditions. "Given the size of the chronic care Medicare population, any serious effort to improve cost-effectiveness of Medicare benefits will have to grapple with these patients," said Ahlstrom. "Additional research should be done to determine the impact of home health on non-chronic care patients."

The report, "Medicare Spending and Rehospitalization for Chronically Ill Medicare Beneficiaries: Home Health Use Compared to Other Post-Acute Care Settings," was prepared by Christine Aguiar, Alexis Ahlstrom, Zeynal Karaca, Kevin Dietz, and Ellen Lukens, all of Avalere Health. The Alliance for Home Health Quality and Innovation provided financial support for this research. Avalere maintained sole discretion with regard to methods and interpretations of findings, and the authors are solely responsible for the content of this analysis.

Avalere Health is an advisory services company whose core purpose is to create innovative solutions to complex healthcare problems. Based in Washington DC, the firm delivers research, analysis, insight, and strategy for leaders in healthcare business and policy. Avalere's experts span 125 staff drawn from the federal government (e.g., CMS, OMB, CBO, and the Congress), Fortune 500 healthcare companies, top consultancies, and nonprofits. The firm offers deep substance in areas ranging from healthcare coverage and financing to the changing role
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