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      Racial and Ethnic Differences in End-of-Life Medicare Expenditures

      , , ,
      Journal of the American Geriatrics Society
      Wiley-Blackwell

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          Abstract

          <div class="section"> <a class="named-anchor" id="S1"> <!-- named anchor --> </a> <h5 class="section-title" id="d6802716e188">Objectives</h5> <p id="P1">To determine to what extent racial and ethnic variation in Medicare spending during the last six months of life are explained by demographic, social support, socioeconomic, geographic, medical and EOL planning factors. </p> </div><div class="section"> <a class="named-anchor" id="S2"> <!-- named anchor --> </a> <h5 class="section-title" id="d6802716e193">Design</h5> <p id="P2">Retrospective cohort study</p> </div><div class="section"> <a class="named-anchor" id="S3"> <!-- named anchor --> </a> <h5 class="section-title" id="d6802716e198">Setting</h5> <p id="P3">Health and Retirement Study (HRS)</p> </div><div class="section"> <a class="named-anchor" id="S4"> <!-- named anchor --> </a> <h5 class="section-title" id="d6802716e203">Participants</h5> <p id="P4">7,105 decedents who participated in the Health and Retirement Study between 1998–2012 and previously consented to survey linkage with Medicare claims. </p> </div><div class="section"> <a class="named-anchor" id="S5"> <!-- named anchor --> </a> <h5 class="section-title" id="d6802716e208">Measurements</h5> <p id="P5">Total Medicare expenditures in the last 180 days of life by race and ethnicity, controlling for demographic factors, social supports, geography, illness burden, and EOL planning factors including presence of advance directives, discussion of EOL treatment preferences, and whether death had been expected. </p> </div><div class="section"> <a class="named-anchor" id="S6"> <!-- named anchor --> </a> <h5 class="section-title" id="d6802716e213">Results</h5> <p id="P6">Our analysis included 5548 (78.1%) non-Hispanic white, 1030 (14.5%) non-Hispanic black, 331 (4.7%) Hispanic, and 196 (2.8%) adults of other race/ethnicity. Unadjusted results suggest that average Medicare expenditures for black decedents was $13,522 (35%, p &lt;0.001) more than for whites, while Medicare expenditures for Hispanics was $16,341 (42%, p&lt;0.001) more at EOL. Controlling for demographic, socioeconomic, geographic, medical and EOL specific factors, the Medicare expenditure difference between groups reduced to $8,047 (22%, p&lt;0.001) more for black and $6,855 (19%, p&lt;0.001) more for Hispanic decedents compared to non-Hispanic whites’ expenditures. The expenditure differences between groups remained statistically significant across all models. </p> </div><div class="section"> <a class="named-anchor" id="S7"> <!-- named anchor --> </a> <h5 class="section-title" id="d6802716e218">Conclusion</h5> <p id="P7">Racial and ethnic differences in Medicare spending in the last six months of life are not fully explained by patient-level factors, including EOL planning factors. Future research should focus on broader systemic, organizational and provider level factors to explain these differences. </p> </div>

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          Most cited references40

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          There are two broad classes of models used to address the econometric problems caused by skewness in data commonly encountered in health care applications: (1) transformation to deal with skewness (e.g., ordinary least square (OLS) on ln(y)); and (2) alternative weighting approaches based on exponential conditional models (ECM) and generalized linear model (GLM) approaches. In this paper, we encompass these two classes of models using the three parameter generalized Gamma (GGM) distribution, which includes several of the standard alternatives as special cases-OLS with a normal error, OLS for the log-normal, the standard Gamma and exponential with a log link, and the Weibull. Using simulation methods, we find the tests of identifying distributions to be robust. The GGM also provides a potentially more robust alternative estimator to the standard alternatives. An example using inpatient expenditures is also analyzed.
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              Are regional variations in end-of-life care intensity explained by patient preferences?: A Study of the US Medicare Population.

              We sought to test whether variations across regions in end-of-life (EOL) treatment intensity are associated with regional differences in patient preferences for EOL care. Dual-language (English/Spanish) survey conducted March to October 2005, either by mail or computer-assisted telephone questionnaire, among a probability sample of 3480 Medicare part A and/or B eligible beneficiaries in the 20% denominator file, age 65 or older on July 1, 2003. Data collected included demographics, health status, and general preferences for medical care in the event the respondent had a serious illness and less than 1 year to live. EOL concerns and preferences were regressed on hospital referral region EOL spending, a validated measure of treatment intensity. A total of 2515 Medicare beneficiaries completed the survey (65% response rate). In analyses adjusted for age, sex, race/ethnicity, education, financial strain, and health status, there were no differences by spending in concern about getting too little treatment (39.6% in lowest spending quintile, Q1; 41.2% in highest, Q5; P value for trend, 0.637) or too much treatment (44.2% Q1, 45.1% Q5; P = 0.797) at the end of life, preference for spending their last days in a hospital (8.4% Q1, 8.5% Q5; P = 0.965), for potentially life-prolonging drugs that made them feel worse all the time (14.4% Q1, 16.5% Q5; P = 0.326), for palliative drugs, even if they might be life-shortening (77.7% Q1, 73.4% Q5; P = 0.138), for mechanical ventilation if it would extend their life by 1 month (21% Q1, 21.4% Q5; P = 0.870) or by 1 week (12.1% Q1, 11.7%; P = 0.875). Medicare beneficiaries generally prefer treatment focused on palliation rather than life-extension. Differences in preferences are unlikely to explain regional variations in EOL spending.
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                Author and article information

                Journal
                Journal of the American Geriatrics Society
                J Am Geriatr Soc
                Wiley-Blackwell
                00028614
                September 2016
                September 01 2016
                : 64
                : 9
                : 1789-1797
                Article
                10.1111/jgs.14263
                5237584
                27588580
                a2f1ed10-f46e-4a2c-abbb-640c9a345696
                © 2016

                http://doi.wiley.com/10.1002/tdm_license_1.1

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