Redefining Health Care Systems / Robert H

Total Page:16

File Type:pdf, Size:1020Kb

Redefining Health Care Systems / Robert H Redefi ning Health Care Systems ROBERT H. BROOK For more information on this publication, visit www.rand.org/t/cp788 Library of Congress Cataloging-in-Publication Data Brook, Robert H. (Robert Henry), 1943- , author, editor. Redefining health care systems / Robert H. Brook. p. ; cm. "The third section of the book comprises a series of short commentaries on specific issues, originally published in JAMA between March 2009 and March 2012." Includes bibliographical references. ISBN 978-0-8330-9040-9 (pbk. : alk. paper) I. JAMA. II. Title. [DNLM: 1. Delivery of Health Care—organization & administration—United States. 2. Health Status—United States. 3. Health Services Research—United States. W 84 AA1]. RA398.A3 362.10973—dc23 2015013738 Published by the RAND Corporation, Santa Monica, Calif. © Copyright 2015 RAND Corporation R® is a registered trademark. Cover design by Eileen Delson La Russo Limited Print and Electronic Distribution Rights This document and trademark(s) contained herein are protected by law. This representation of RAND intellectual property is provided for noncommercial use only. Unauthorized posting of this publication online is prohibited. Permission is given to duplicate this document for personal use only, as long as it is unaltered and complete. Permission is required from RAND to reproduce, or reuse in another form, any of its research documents for commercial use. For information on reprint and linking permissions, please visit www.rand.org/pubs/permissions.html. The RAND Corporation is a research organization that develops solutions to public policy challenges to help make communities throughout the world safer and more secure, healthier and more prosperous. RAND is nonprofit, nonpartisan, and committed to the public interest. RAND’s publications do not necessarily reflect the opinions of its research clients and sponsors. Support RAND Make a tax-deductible charitable contribution at www.rand.org/giving/contribute www.rand.org Dedication This book is dedicated to David K. and Carol A. Richards to honor their moral com- passes, which always point true north; to acknowledge their sustained intellectual, emotional, and financial support; and to thank them for being true friends of RAND. iii Contents Dedication ............................................................................................ iii Introduction ........................................................................................... 1 EXPLOITING THE KNOWLEDGE BASE OF HEALTH SERVICES RESEARCH Core Facts Derived from 50 Years of Health Services Research ............................. 5 1. Health Status Can Be Measured .................................................................. 6 2. Free Care Increases Health Service Use but Does Not Improve Health ..................... 8 3. Patient Copayments Strongly Influence Health Care Use ..................................... 9 4. How Physicians Are Paid Influences How They Practice ...................................... 9 5. Quality of Care Can Be Measured ...............................................................10 6. Quality of Care Varies .............................................................................13 7. The Appropriateness of Care Can Be Determined .............................................14 8. Geography Is a Strong Predictor of Health Service Use .......................................15 9. Depression, a Leading Cause of Morbidity, Is Poorly Detected and Poorly Treated .......16 10. Physicians and Patients Need Tools to Support Decisionmaking ..........................17 11. One Person’s Waste Is Another’s Income .......................................................18 12. Social Factors Are Powerful Determinants of Health ........................................19 Science and Technology Will Increase Health Care Costs .................................. 20 How Health Services Research Can Fix the Health Care System ..........................21 STORIES Story One: Why Fixing Simple Problems in Medicine Would Dramatically Increase Quality ................................................................................31 Story Two: Whom Does the Institutional Review Board Protect? .........................32 Story Three: Introducing Quality Measurement to the Wild West ........................35 Story Four: Passionate Responses to the Notion of Change .................................37 Story Five: Why Free Care Doesn’t Improve Health ......................................... 38 Story Six: Age and Resistance to Change ...................................................... 38 Story Seven: Resisting Funder Pushback When Findings Don’t Match Expectations .................................................................................... 40 v vi Redefining Health Care Systems Story Eight: Transparency and Responsibility .................................................41 Conclusion ........................................................................................................................ 42 COMMENTARIES Quality, Transparency, and the US Government ..............................................45 The Science of Health Care Reform ..............................................................49 Possible Outcomes of Comparative Effectiveness Research .................................53 Assessing the Appropriateness of Care—Its Time Has Come ...............................57 Disruption and Innovation in Health Care .....................................................61 Continuing Medical Education: Let the Guessing Begin ....................................65 The Primary Care Physician and Health Care Reform .......................................69 Rights and Responsibilities in Health Care: Striking a Balance ...........................73 Medical Leadership in an Increasingly Complex World .................................... 77 Physician Compensation, Cost, and Quality ...................................................81 What If Physicians Actually Had to Control Medical Costs? ...............................85 The End of the Quality Improvement Movement: Long Live Improving Value .........89 A Physician = Emotion + Passion + Science .....................................................93 Is Choice of Physician and Hospital an Essential Benefit? .................................. 97 Health Services Research and Clinical Practice ............................................. 101 Accountable Care Organizations and Community Empowerment ...................... 105 Facts, Facts, Facts: What Is a Physician to Do? .............................................. 109 The Role of Physicians in Controlling Medical Care Costs and Reducing Waste ..... 113 Can the Patient-Centered Outcomes Research Institute Become Relevant to Controlling Medical Costs and Improving Value? ..................................... 117 Two Years and Counting: How Will the Effects of the Affordable Care Act Be Monitored? ..................................................................................... 121 Do Physicians Need a “Shopping Cart” for Health Care Services? ...................... 125 Vision and Persistence: Changing the Education of Physicians Is Possible ............ 129 Why Not Big Ideas and Big Interventions? ................................................... 133 About the Author .................................................................................. 137 Introduction This book provides a scientific and personal perspective on health services research over the last half-century. Its purpose is to suggest how that science base, constructed over decades of sustained effort, can stimulate innovative thinking about how to make health care systems safer, more efficient, more cost-effective, and more patient-centered even as they respond to the needs of diverse communities. There are three models for producing health: • The first is the classical medical model—i.e., physicians, hospitals, nursing homes, and all the other things that we associate with the health care system. • The second is the public health model—e.g., ensuring food safety, preventing or controlling pandemics, helping communities prepare for and respond to disasters. • The third is the social determinants of health model—i.e., understanding how education, wealth, and similar characteristics affect the health status of individu- als and communities. The science base examined in this book is relevant to all three models. The initial essay by Robert Brook, “Exploiting the Knowledge Base of Health Ser- vices Research,” co-authored with Mary Vaiana, provides a perspective on the major achievements of health services research over five decades. For example, we now know how to measure health status and the appropriateness and quality of care. We under- stand the link between how much people pay for care and how much they use. We know that how physicians are paid for care influences the way they practice. We know that depression is one of the leading causes of morbidity in the world. We realize that the most powerful determinants of health are not the newest drugs or surgical techniques—they are social determinants, such as education and income. In the essay, Brook and Vaiana argue that we can make almost any reasonable health policy work if the policy takes the relevant science into account. In the current blizzard of suggestions for how to reform, refine, and redefine health care, the core facts produced by health services research should serve as a sanity check. Political per- spectives may, and do,
Recommended publications
  • China's Health System Reform and Global Health Strategy in The
    Testimony China’s Health System Reform and Global Health Strategy in the Context of COVID-19 Jennifer Bouey CT-A321-1 Testimony presented before the U.S.-China Economic and Security Review Commission on May 7, 2020. C O R P O R A T I O N For more information on this publication, visit www.rand.org/pubs/testimonies/CTA321-1.html Testimonies RAND testimonies record testimony presented or submitted by RAND associates to federal, state, or local legislative committees; government-appointed commissions and panels; and private review and oversight bodies. ChapterTitle 1 Published by the RAND Corporation, Santa Monica, Calif. © Copyright 2020 RAND Corporation RA® is a registered trademark. Limited Print and Electronic Distribution Rights This document and trademark(s) contained herein are protected by law. This representation of RAND intellectual property is provided for noncommercial use only. Unauthorized posting of this publication online is prohibited. Permission is given to duplicate this document for personal use only, as long as it is unaltered and complete. Permission is required from RAND to reproduce, or reuse in another form, any of its research documents for commercial use. For information on reprint and linking permissions, please visit www.rand.org/pubs/permissions.html. www.rand.org China’s Health System Reform and Global Health Strategy in the Context of COVID-19 Testimony of Jennifer Bouey1 The RAND Corporation2 Before the U.S.-China Economic and Security Review Commission May 7, 2020 hairman Cleveland, Commissioner Lee, and members of the Commission, thank you for inviting me to assess China’s pandemic-related issues regarding its public health C system, health care system, and global health strategy in the context of COVID-19.
    [Show full text]
  • Expensive Patients, Reinsurance, and the Future of Health Care Reform
    Emory Law Journal Volume 69 Issue 6 2020 Expensive Patients, Reinsurance, and the Future of Health Care Reform Govind Persad Follow this and additional works at: https://scholarlycommons.law.emory.edu/elj Recommended Citation Govind Persad, Expensive Patients, Reinsurance, and the Future of Health Care Reform, 69 Emory L. J. 1153 (2020). Available at: https://scholarlycommons.law.emory.edu/elj/vol69/iss6/1 This Article is brought to you for free and open access by the Journals at Emory Law Scholarly Commons. It has been accepted for inclusion in Emory Law Journal by an authorized editor of Emory Law Scholarly Commons. For more information, please contact [email protected]. PERSAD_8.21.20 8/24/2020 11:43 AM EXPENSIVE PATIENTS, REINSURANCE, AND THE FUTURE OF HEALTH CARE REFORM Govind Persad* ABSTRACT In 2017, Americans spent over $3.4 trillion—nearly 18% of gross domestic product—on health care. This spending is unevenly distributed: Almost a quarter is spent on the costliest 1% of patients, and almost half on the costliest 5%. Most of these patients soon return to a lower percentile, but many continue to incur health care costs in the top percentiles year after year. This Article focuses on the challenges that persistently expensive patients present for health law and policy, and how fairly dividing their medical costs among payers illuminates fundamental normative choices about the design and reform of health insurance. In doing so, this Article draws on bioethical and health policy analyses of the fair distribution of medical costs, and examines how legal doctrine shapes health systems’ options for responding to expensive patients.
    [Show full text]
  • Addressing Health Care Market Consolidation and High Prices the Role of the States
    HEALTH POLICY CENTER RESEARCH REPORT Addressing Health Care Market Consolidation and High Prices The Role of the States Robert A. Berenson Jaime S. King Katherine L. Gudiksen Roslyn Murray URBAN INSTITUTE UC HASTINGS LAW UC HASTINGS LAW GEORGETOWN UNIVERSITY Adele Shartzer URBAN INSTITUTE January 2020 ABOUT THE URBAN INSTITUTE The nonprofit Urban Institute is a leading research organization dedicated to developing evidence-based insights that improve people’s lives and strengthen communities. For 50 years, Urban has been the trusted source for rigorous analysis of complex social and economic issues; strategic advice to policymakers, philanthropists, and practitioners; and new, promising ideas that expand opportunities for all. Our work inspires effective decisions that advance fairness and enhance the well-being of people and places. Copyright © January 2020. Urban Institute. Permission is granted for reproduction of this file, with attribution to the Urban Institute. Cover image by Tim Meko. Contents Acknowledgments iv Executive Summary v 1. Introduction 1 2. Employee Retirement Income Security’s Act 8 3. State Efforts to Promote Transparency 11 4. State Efforts to Regulate Consolidation and Promote Competition 17 5. State Options for Overseeing and Regulating Prices 44 6. Conclusion 68 Notes 69 References 79 About the Authors 86 Statement of Independence 87 Acknowledgments This report was funded by the Commonwealth Fund. We are grateful to them and to all our funders, who make it possible for Urban to advance its mission. The views expressed are those of the authors and should not be attributed to the Urban Institute or UC Hastings Law, its trustees, or its funders.
    [Show full text]
  • Health Care Reform Preventive Services Coding Guide
    Health Care Reform Preventive Services Coding Guide The Patient Protection and Affordable Care Act (PPACA) and the Health Care and Education Reconciliation Act of 2010 (HCERA) has designated the services listed below as preventive benefits and available with no cost-sharing when provided by an in-network provider for members of non-grandfathered health plans. In addition to the services listed below, your patient may have additional preventive care benefits covered under their health plan that may or may not be covered at 100%. Your patient should check their benefit booklet for details on these additional preventive care benefits. The following tables provide a quick reference guide for submitting claims for preventive services with a “well-person” diagnosis code as the primary (first) diagnosis on the claim. This information is intended as a reference tool for your convenience and is not a guarantee of payment. This guide is subject to change based on new or revised laws and/or regulations, additional guidance and/or BCBSNC medical policy. IMPORTANT INFORMATION: Services must be billed with the appropriate diagnosis, at the line level of the claim (Block 24E), pursuant to industry standard coding guidelines. Preventive or screening services are intended for those who currently exhibit no signs or symptoms of disease. Services otherwise deemed preventive that are received in an inpatient setting, an emergency room, or that include additional procedures or diagnostic services may be subject to copayment, deductible and coinsurance. Submitting screening service codes (CPT, HCPCs, ICD-9 or ICD-10) when signs or symptoms are present constitutes inappropriate coding which could result in recoupment of monies paid to the provider for those services.
    [Show full text]
  • Big Bang Health Care Reform — Does It Work?: the Case of Britain’S 1991 National Health Service Reforms
    Big Bang Health Care Reform — Does It Work?: The Case of Britain’s 1991 National Health Service Reforms RUDOLF KLEIN University o f Bath, England ealth care reform has b e e n o n e of the worldwide epidemics of the 1990s. But among the many coun­ tries that have either attempted or contemplated the reform H of their health care systems (Hurst 1992; Organization for Economic Co-operation and Development 1994) Britain stands out from the rest. The reforms of the National Health Service (NHS) introduced in 1991 by Mrs. Thatcher’s Conservative government were driven by the much the same set of concerns and ideas that shaped the international vocabu­ lary of debate. In particular, they reflected the widely held belief that the best way of improving efficiency was to change the incentives to pro­ viders and that some form of marketlike competition was the best tool for achieving this aim (Saltman and van Otter 1992). In all these re­ spects, there was nothing all that special about Britain. What makes the British case special, and worthy of further study, however, is the ambi­ tious scope of the reforms and the relentless determination with which Mrs. Thatcher’s government implemented them. In the United States, the Clinton reforms plan foundered on the rocks of congressional oppo­ sition; in Sweden, a succession of local experiments and committees of inquiry failed to create a national consensus about the direction of health care policy; in the Netherlands, an ambitious plan of reform was The Milbank Quarterly, Vol. 73, No. 3, 1995 © 1995 Milbank Memorial Fund.
    [Show full text]
  • Prevention Provisions in the Affordable Care Act Gail Shearer, MPP
    American Public Health Association OCTOBER 2010 Prevention Provisions in the Affordable Care Act Gail Shearer, MPP Executive Summary n 2010 Congress enacted the Affordable Care Act, a historic and vigorously debated law designed to dramatically overhaul the health system. Included in the Affordable Care Act are comprehensive prevention provisions consistent with those called for by the American Public Health Association I (APHA) in its health reform agenda and supported by other leading experts in population health and prevention.12 The Affordable Care Act, if it is adequately funded, effectively implemented, and creatively leveraged through public and private-sector partnerships, will mark the turning point in the fundamental nature of our health system, initiating the transformation of our health system from one that treats sickness to one that promotes health and wellness. This issue brief begins (Section III) by summarizing the state of public health in the United States, including some measures of the growth of preventable diseases. Section IV describes the major provisions of the Affordable Care Act that address prevention through: (1) investing in public health; (2) educating the public; (3) expanding insurance coverage and requiring that health insur- ance include recommended preventive benefits; and (4) building capacity for better prevention in the future through demonstrations, research and evaluation. 800 I Street, NW • Washington, DC 20001-3710 • 202-777-APHA • fax: 202-777-2534 • www.apha.org Section V identifies key implementation
    [Show full text]
  • The Health Care Reform Spectrum CHRO Education Series
    I II III IV V VI I. II. I. Nearly a decade after the passage of the Affordable Care Act, health care continues to be a top issue among voters in the U.S., with the two major parties offering distinctly III. different visions of the direction of future reform. To help CHROs, their teams, stakeholders, and the public better understand the health care landscape and the prospects for change, we’re launching a series of short papers that will discuss the IV. various types of reform proposals being discussed among policy makers, political candidates and other key stakeholders. OBJECTIVES V. OF THE SERIES We hope this CHRO Education Series will VI. increase member awareness of the spectrum of potential future health care reforms that may be proposed over the next two years – and will help senior HR leaders assess the implications of various types of reform on their future business and talent strategies. We will also use these papers as the basis for follow up discussions with members in 2019 that will help shape the Association’s work with policymakers. 1 II. Policy Makers Have It’s also not surprising that Democrats and Differing Visions of Republicans have very different visions of what direction health care reform should Health Care Reform take in the future. While Republicans have largely abandoned prior calls to “repeal and The US health care system is unique among replace” the Affordable Care Act (ACA), industrialized nations in two ways: it does the Trump Administration declined to not provide universal coverage for all defend the ACA in a recent challenge in a citizens, and access to coverage for nearly Texas district court.
    [Show full text]
  • Implementing Health Care Reform Policies in China: Challenges
    a report of the csis freeman chair in china studies Implementing Health Care Reform Policies in China challenges and opportunities 1800 K Street, NW | Washington, DC 20006 Tel: (202) 887-0200 | Fax: (202) 775-3199 Editors E-mail: [email protected] | Web: www.csis.org Charles W. Freeman III Xiaoqing Lu Boynton December 2011 ISBN 978-0-89206-679-7 Ë|xHSKITCy066797zv*:+:!:+:! a report of the csis freeman chair in china studies Implementing Health Care Reform Policies in China challenges and opportunities Editors Charles W. Freeman III Xiaoqing Lu Boynton December 2011 About CSIS At a time of new global opportunities and challenges, the Center for Strategic and International Studies (CSIS) provides strategic insights and bipartisan policy solutions to decisionmakers in government, international institutions, the private sector, and civil society. A bipartisan, nonprofit organization headquartered in Washington, D.C., CSIS conducts research and analysis and devel- ops policy initiatives that look into the future and anticipate change. Founded by David M. Abshire and Admiral Arleigh Burke at the height of the Cold War, CSIS was dedicated to finding ways for America to sustain its prominence and prosperity as a force for good in the world. Since 1962, CSIS has grown to become one of the world’s preeminent international policy institutions, with more than 220 full-time staff and a large network of affiliated scholars focused on defense and security, regional stability, and transnational challenges ranging from energy and climate to global development and economic integration. Former U.S. senator Sam Nunn became chairman of the CSIS Board of Trustees in 1999, and John J.
    [Show full text]
  • Principles for Health Care Reform
    444 East Algonquin Road Arlington Heights, IL 60005-4664 ASPS POSITION STATEMENT 847-228-9900 www.plasticsurgery.org ASPS PRINCIPLES FOR HEALTH CARE REFORM While the ACA resulted in a number of desirable reforms, including coverage of pre-existing conditions, removal of lifetime caps, and coverage of children to age 26, the American health care system remains beset by a number of serious problems. Health insurance costs continue to rise, and private insurers draw ever-more-narrow networks, threatening broad access to care. Health system consolidation has exploded, threatening the viability of private practice and increasing costs to patients, taxpayers, and insurers. Well-meaning efforts to use alternative payment methods to reward the value of care, rather than the volume, have resulted in systems ill-equipped to integrate, analyze and reward specialist services. These systems threaten the viability of independent medical practices across the country, while causing physicians to retire early or sell their practices to large corporations and hospitals As the 115th Congress begins and a new administration takes power, policymakers are poised to again undertake health care reform. The following are key principles that the American Society of Plastic Surgeons believes must accompany such an effort. MAKE PATIENT ACCESS TO CARE PRIORITY ONE Patients should have timely access to high-quality medical care from the appropriate provider. To advance this goal, health care reform must - o Maximize the availability of high-quality, affordable coverage. o Prohibit denial or cancellation of coverage for pre-existing conditions. o Prohibit denial or cancellation of policies when a patient becomes sick. o Prohibit annual and lifetime caps.
    [Show full text]
  • Biosimilars Event Summary
    November 15, 2013 Developing Systems to Support Meeting Summary Pharmacovigilance of Biologic Products November 15, 2013 Developing Systems to Support PharmacovigilanceMeeting Summary of Biologic Products Introduction Biologic products like vaccines have dramatically altered medical practice and disease prevention for more than a hundred years. In the last several decades, major advances in genetic bioengineering technologies have revolutionized the biologics innovation space and yielded an impressive diversity of recombinant therapeutic proteins, antibodies, and DNA vaccines. Targeted molecular medicines, in particular, have greatly enhanced clinicians’ abilities to treat cancers and other complex conditions. However, along with biologic product-driven advances in medicine have come several challenges related to supporting pharmacovigilance of these products. Biologics tend to be much larger and more complex and sensitive molecules than small molecule drugs, and exhibit some natural structural variation. As a result, different manufacturers’ versions of a biologic product – and even different batches or “lots” of the same biologic product – cannot be considered structurally identical. Instead, approved biologic products fall within a narrow range of structural and clinical similarity. Pharmacovigilance challenges are compounded by the fact that many biologic products are injectable and administered by a provider in an infusion center or physician’s office, or by a caregiver in a patient’s home. In many instances, the product’s manufacturer or specific batch are not adequately captured in these settings. Gaps in pharmacovigilance systems across different health care settings pose a risk for biologic products. For example, passive surveillance systems that rely on reporting by patients and providers often lack critical information, such as lot numbers, which are necessary for identifying safety concerns with a specific batch of a biologic product.
    [Show full text]
  • Health Care Reform: Tracking Tribal, Federal, and State Implementation
    Executive Summary This report analyzes the impact of national health care reform on American Indian and Alaska Native (AI/AN) people. Twenty states are included in a systematic study of the most significant aspects of health care reform. The report identifies which elements of national health care reform are most likely to affect health care access for AI/ANs. It also projects the extent of these changes in health care access in the 20 study states under various scenarios. To provide this analysis, the report accesses data on Medicaid expenditures for AI/ANs provided by a series of studies sponsored by the Centers for Medicare & Medicaid Services (CMS) and conducted by the California Rural Indian Health Board (CRIHB), as well as health, demographic, and other data from the American Community Survey (ACS).1 Two elements of the Affordable Care Act of 2010 will likely have a substantial effect on AI/ANs: Medicaid expansion and health insurance exchanges, including exchange subsidies. As this report describes, Medicaid expansion will likely increase the number of AI/ANs enrolled in Medicaid in the 20 study states by an estimated 286,000 if aggressive outreach and enrollment practices are funded. Predicting participation in health insurance exchanges is more difficult, but an estimated 364,000 AI/ANs in the study states are likely eligible for exchange subsidies. Medicaid expansion, not without its own challenges, will be far easier to achieve than AI/AN participation in the health insurance exchanges. This report examines variations between the 20 study states along a number of salient indicators including measures described in the following table.
    [Show full text]
  • Marketing and Promotion Facts
    INTRODUCTION Activities conducted as part of pharmaceutical marketing and promotion are an important component of educating and informing consumers and health care professionals about new treatments. Direct-to-consumer (DTC) advertisements aim to inform patients of important treatment options, while pharmaceutical sales representatives work to get accurate, up-to- date information on medicines to health care professionals. These efforts have also been the subject of debate, with some questioning their value. This booklet offers facts about pharmaceutical marketing and promotion. We believe these facts are important to consider as the value of marketing and promotion are debated. Since our last publication on marketing and promotion,1 the pharmaceutical industry has worked to improve the dissemination of information about medical advances and to address concerns. One important change was the unanimous approval by PhRMA’s Board of Directors of Guiding Principles on Direct to Consumer Advertisements About Prescription Medicines. These voluntary Principles express the commitment of PhRMA members to deliver DTC communications that are a valuable contribution to public health. In addition, in 2008 PhRMA adopted a newly revised Code on Interactions with Health Care Professionals. The strengthened code refl ects a commitment to maintaining the highest ethical standards in all marketing practices and to promote the best patient care possible. This publication shows the role of marketing and promotion in speeding the dissemination of valuable improvements in medical care. It also highlights the important role that marketing plays in getting patients to discuss a range of health issues with their physicians, resulting in patients receiving needed treatment. We hope that the information contained in this booklet will enhance dialogue surrounding pharmaceutical marketing and promotion by providing a perspective that often is not heard.
    [Show full text]