In South Florida Hospital News and Healthcare Report’s July 2009 issue, we discussed the various definitions and components of the term medical homes. Although we would know a medical home if we experienced it, a generally accepted definition has not yet been determined (see sidebar). With passing of the historic Patient Protection and Affordable Care Act on March 23, 2010, we anticipate that the industry will experience more momentum in the development of medical homes as it copes with the expected increase in demand for services as coverage expands for thirty-two million more Americans and the coming of age of the baby-boomers. The recently passed health reform legislation has given, the secretary of health and human services broad authority to launch new pilot projects based on the patient-centered medical home concept, which is expected to be accomplished under the auspices of the Centers for Medicare and Medicaid Services (CMS).
The urgency to change how health care is delivered cannot be understated with national health spending expected to grow from $2.2 trillion in 2007 to $4.3 trillion in 2017 (Keehan, et al., 2008). Contributing to this expected growth is the need of health services by older people. Next year, in 2011, the first cohort of the American “baby boom” generation – those born between 1945 and 1966 – will reach the age of sixty-five. By 2030, according to the U.S. Census Bureau, the older adult population will grow to more than seventy million and account for one in every five Americans. Several studies have analyzed the impact of aging on health care costs. Mendelson and Schwartz (1993) found that from 2000 to 2030 there would be a 20 percent increase in health care costs due to aging. Keehan, Lazenby, Zezza and Catlin (2004) found that for elderly people the average health care expense in 2002 was $11,089 per year versus $3,352 per year for working-age people (ages 19-64).
As Boult, Counsell, Leipzig and Berenson (2010, p. 811) noted, many older people, especially the “oldest old” have multiple chronic diseases (i.e., hypertension, heart failure, and diabetes) as well as geriatric syndromes, such as falls, disability, and cognitive decline, that require interdisciplinary clinical teams who address not only specific diseases and syndromes but also the interactions of medical, social, and mental health factors. Within a medical home, the older individual would receive the continuity of care and care coordination needed to address their multiple needs. For example, in 2007, North Carolina’s medical home model referred to as Community Care of North Carolina (CCNC) initiative not only improve quality of care of its older residents but also reduced overall health care costs by $154 million.
CCNC adopted four program components, all designed to strengthen the ability of the primary care provider to manage patient care and improve patient outcomes: (1) formation of community networks, (2) population management tools, (3) case management and clinical support, and (4) data and feedback. DuBard and colleagues (2008), evaluated the medical records of nearly 2,000 state Medicaid recipients ages 50 and older and found that patients who had been treated by the same practitioner for more than five years were twice as likely to be screened for colorectal, breast, and cervical cancers as those who had been with a practitioner less than two years. In addition, other research has indicated the effectiveness of CCNC for Medicaid patients with asthma, diabetes, and other chronic ailments. DuBard et al. noted that patients with longer-standing, continual relationships with their primary care provider were far more likely to be screened for certain cancers. This provides further evidence for the medical home model approach that serves as a central resource for a patient’s ongoing medical care. Medical homes can improve quality but also reduce overall health care costs.
Various medical home models have been piloted over the past two decades through numerous demonstration projects (Strenger, 2007). However, until recently, it has been difficult to identify the critical elements of the various models that have lead to improved clinical outcomes and reduced costs. Fields, Leshen, and Patel (2010, p. 823) have identified four common elements after comparing multiple variations of the medical home model that they believe “truly creates value and can be replicated broadly.” The four common features are (1) use of dedicated care managers, (2) expanded access to health practitioners, (3) data-driven analytic tools, and (4) the use of incentives. These common features are similar to the CCNC’s program components.
As we move forward with the implementation of our nation’s healthcare reform, policymakers need to support the development and implementation of medical homes. This cost-effective model of care, especially those designed for specific populations with multiple chronic diseases, can improve quality outcomes while eliminating unnecessary healthcare spending.
Nancy Borkowski, Director, Healthcare Management Programs, Chapman Graduate School of Business, Florida International University, can be reached at (305) 348-2589 or nborkows@fiu.edu.
References
Boult, C., Counsell, S.R., Leipzig, R.M. & Berenson, R. A. (2010). The urgency of preparing primary care physicians to care for older people with chronic illnesses. Health Affairs, 29, 5, 811-818.
Community Care of North Carolina. Available: http://www.communitycarenc.com
DuBard, C.A., Schmid, D., Yow, A., Rogers, A.B. & Lawrence, W.W. (2008). Recommendation for and receipt of cancer screenings among Medicaid recipients 50 years and older. Archives of Internal Medicine,168, 2014-2021.
Fields, Leshen, and Patel (2010). Driving quality gains and cost savings through adoption of medical homes. Health Affairs, 29, 5, 819-826.
Keehan, S.P, Lazenby, H.C., Zezza, M.A., & Catlin, A.C. (2004). Age estimates in the National Health Accounts. Health Care Financing Review, 2, 1(1), web exclusive.
Keehan, S. P., Sisko, A., Truffer, C., Smith, S., Cowan, C., Poisal, J. & Clemens, M.K. (2008). Health spending projections through 2017: The baby-boom generation is coming to Medicare. Health Affairs, 27, 2 , w145-w155
Mendelson, D.N. & Schwartz, W. B. (1993, Spring). The effects of aging and population growth on health care costs. Health Affairs, 12, 1, 119-125.
Strenger, R. (2007, December). The Medical Home Model of Primary Care: Implications for the Healthy Oregon Act. Available http://www.oregon.gov/OHPPR/docs/The_Medical_Home_Model_Final.pdf
U.S. Census Bureau (2004). Table 2a. Projected population of the United States by age and sex: 2000 to 2050. Internet Release Date: March 18, 2004. Available: http://www.census.gov/population/www/projections/usinterimproj/natprojtab02a.pdf
Sidebar:
A Brief History of the Term “Medical Homes”
1992
The American Academy of Pediatrics (AAP) published a proposed definition describing the medical home as "medical care that is accessible, continuous, comprehensive, family-centered, coordinated, compassionate and culturally affective."
2002
The AAP issued a new policy statement that provided an expanded and more comprehensive interpretation of the medical home concept as well as and an operational definition of the medical home. The updated definition included characteristics to assure that (1) family-centered included all members of the family, (2) unbiased, culturally sensitive information was provided on an ongoing basis that includes not only health but also community assets that could be is accessed by the family, and (3) continuous included that the same primary pediatric health care professionals was available from infancy through adolescence and young adulthood.
2006
The Patient-Care Primary Care Collaborative (PCPCC) defines the PCMH as "an approach to providing comprehensive primary care to adults, youth and children."
2007
The National Committee on Quality Assurance (NCQA) defines a PCMH as "a health care setting that facilitates partnerships between individual patients, and their personal physicians, and when appropriate, the patient’s family. Care is facilitated by registries, information technology, health information exchange and other means to assure that patients get the indicated care when and where they need and want it in a culturally and linguistically appropriate manner."
2008
The Centers for Medicare and Medicaid (CMS) describes a medical home as physicians’ practices that can demonstrate they have the capabilities to provide services within six domains: continuity of care, clinical information systems, delivery system design, decision support, patient/family engagement, and care coordination.
Source:
Borkowski, N. and Deckard, G. (2009, July). Defining a Medical Home. South Florida Hospital News, 6, 1, pp. 1, 14.