Which individuals are most likely to need higher levels of health care over a future period of time–that is a key question many payers would like to find an easy answer to. “Predictive Modeling” attempts to answer this question and may provide some guidance. A related question is the extent to which a person’s financial condition affects their care-seeking behavior. Using data from 2004-2008 from the Health and Retirement survey, researchers attempted to learn more about use of health care over an extended period of time, at least for Americans over age 50. (AJPH Article) While older Americans on average have more wealth, they also are beginning to use that wealth for living expenses and older people tend to have higher health spending. The researchers looked for correlation between financial condition, health and use of physicians, hospitals, outpatient surgery and home health care. The factor most strongly correlated with use of health care was the person’s health and changes in that health status. Obviously having multiple conditions led to more utilization. Interestingly, weight and weight change appeared to have little effect on utilization. Financial factors such as change in wealth or income appeared to play a more minor role in use of health care resources, although as might be expected, wealthier people have more use of discretionary services and poorer people may have higher use because of a correlation of poverty with poor health. But some correlations with financial effects ran counter to the expected direction. Overall, the researchers concluded that health was the predominant driver of health care use. But their data source limits efforts to understand the complex relationship between health and financial status.
✅ Subscribe via Email
About this Blog
The Healthy Skeptic is a website about the health care system, and is written by Kevin Roche, who has many years of experience working in the health industry. Mr. Roche is available to assist health care companies through consulting arrangements through Roche Consulting, LLC and may be reached at [email protected].
Healthy Skeptic Podcast
This is an outstanding report on total global drug spending and trends, with projections out to 2025. It helps you understand this important area of health care, which does much...
June 1, 2021
MedPAC 2019 Report to Congress
June 18, 2019
Two health care firms owned by private equity firms are merging in a transaction supposedly valued at $3 billion. HealthComp administers self-funded plans for employers and other groups and Virgin...
September 27, 2023
NextGen, an electronic medical records firm, is being put out of its public company misery, as a PE firm will pay $1.6 billion for the one-time high-flier.
September 7, 2023
A number of companies which attracted large financing rounds during the epidemic have imploded when reality set in. The latest is Cano Health, which is a little surprising since it...
August 15, 2023
Access ACO Care Management Chronic Disease Comparative Effectiveness Consumer Directed Health Consumers Devices Disease Management Drugs EHRs Elder Care End-of-Life Care FDA Financings Genomics Government Health Care Costs Health Care Quality Health Care Reform Health Insurance Health Insurance Exchange HIT HomeCare Hospital Hospital Readmissions Legislation M&A Malpractice Meaningful Use Medicaid Medical Care Medicare Medicare Advantage Mobile Pay For Performance Pharmaceutical Physicians Providers Regulation Repealing Reform Telehealth Telemedicine Wellness and Prevention Workplace