Low Consumption and Higher Cost:
Consumption Clusters in a Medicare Fee-for-Service Population
A study by the National Minority Quality Forum analyzes the utilization of benefits and services by all Medicare beneficiaries over a six-year period. Study authors used the Medicare Beneficiary Annual Summary Files from 2000 to 2005 to glean insights on the consumption patterns of all Medicare benefits and services.
Results from this analysis show that Medicare beneficiaries who consume the fewest benefits and services are more likely to have health complications and cost the program significantly more in the short term, as evidenced by the level of reimbursement associated with their care.
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This study builds a foundation for subsequent analyses that will follow a cohort of Medicare beneficiaries with diabetes and examine the economic burden of underutilized benefits and services in order to make cost-saving recommendations for the Medicare program.
This is an installment within a series of articles that examine the utilization of medicare services. To receive an alert when the next study becomes available, please contact us here.
1 out of 3 Medicare dollars is spent on diabetes, with a high percentage attributed to tertiary illness caused by unmanaged or undermanaged diabetes.5