Hospice Reduces Medical Expenditures

The 2008 annual report released by the National Hospice and Palliative Care Organization (NHPCO) cites a study conducted by Duke University researchers entitled, “What Length of Hospice Use Maximizes Reduction in Medical Expenditures Near Death in the U.S. Medicare Program?”
Published in the October 2007 issue of Social Science and Medicine, the study found that use of hospice significantly reduces medical expenses. The authors note, “The hospice benefit appears to be that rare situation in health care where something that improves quality of life also saves money.”

Key findings in the study include:
• The use of hospice services reduced Medicare expenses by an average amount of $2309 per patient, compared to patients who used regular medical care instead of hospice.
• 70% of hospice patients also could have reduced their medical expenses if they had started hospice care sooner.

“Often hospice is used for a relatively short time, but we found that patients who use the benefit for the last seven to eight weeks of life maximize cost savings to the (Medicare) program,” the authors explain.
Being enrolled in hospice for at least seven to eight weeks “...also allows patients and their families to fully experience the benefits of hospice, such as bereavement counseling, palliative care, and respite for caregivers,” the authors point out.

Reprinted with permission from Quality of Life Matters®, copyright 2009.
Published by Quality of Life Publishing Co., Naples, FL.