Report shows preventive care may reduce spending
January 25, 2010 by PHOA
Filed under Medicine & Health News
Report shows preventive care may reduce spending
Generic Vicodin was the most commonly prescribed drug in Michigan in 2007 and premature births ranked at the top of the state’s most expensive hospitalizations that year, says a report released today by an Ann Arbor-based health research organization. Statewide, doctors and medical providers wrote 5.1 million prescriptions for generic Vicodin in 2007, the latest year figures were available, and Michiganians spent $11 billion on prescription drugs, the report found. Vicodin, a narcotic pain medication, is often associated with some of the most costly hospital procedures, according to the report released by the Center for Healthcare Research Transformation. In undertaking the study, the center sought to examine the factors contributing to rising health care costs and identify areas where savings could exist.
Similarly, in looking at the most expensive hospitalizations for Michiganians in 2007, the report found that premature births ranked No. 1, costing an average of $102,103 per discharge, or about 14 times the cost of a normal birth. Hospital discharges for mood disorders, such as depression and bipolar conditions, also were slightly higher in Michigan than nationwide in 2007 and much higher for women than men in the state. The report looks at trends in health care spending, including the top 10 conditions leading to hospitalization and the most expensive conditions to treat in Michigan and nationwide. The Center for Healthcare Research Transformation, a nonprofit agency created by the University of Michigan Health System and Blue Cross Blue Shield of Michigan, funded the report. Marianne Udow-Phillips, the center’s director, said the findings indicate there are potential savings to be found in preventing costly hospitalizations. /ppFor instance, some of the most frequent and expensive hospital admissions are for conditions such as congestive heart failure and premature births, both of which could be prevented or reduced by healthier lifestyle choices and more proactive care, she said. The high rate of hospitalizations for mood disorders also suggests patients may not being getting help early enough and letting their conditions worsen to the point where they need to be admitted, she said. Also, medical providers could cut down on Vicodin use by pursuing other alternatives to treating pain associated with back ailments and arthritis that often send people to the hospital, Udow-Phillips said. Some of these alternatives include behavioral modifications, meditation and acupuncture, she added. What this tells us is that we ought to be looking at other strategies, she said. If we could deal with the fundamental causes of pain, we could really reduce spending. /ppVisit www.chrt org to view the report.


