This is
not a simple solution to a complex problem. How do those of us eligible for Medicare know how
to find the best insurance solution? This is even difficult for me.
Presently, I have Medicare and a supplemental insurance policy. In
addition to this, I am also a veteran and have veteran benefits.
At this time, I am able to choose who
provides what benefit. This may change if our current President has
his way. He has already disrupted Medicare, Part B in a big way and
is threatening to do more damage to Medicare. He has also put limits
on what the Department of Veteran Affairs can do for veterans.
Nearly one in three American senior
citizens choose to get their government-funded Medicare health
coverage through plans run by health insurance companies. The rest
get Medicare from the federal government. However, if health policy
decision-makers assume the two groups are pretty much the same,
they’re mistaken, a new study finds.
And basing decisions on that assumption
could (I say will) skew the nation’s efforts to improve care, and
spend taxpayer dollars wisely, at the end of patients’ lives, the
researchers say. That’s when one-quarter of Medicare spending
happens.
Writing in JAMA Internal Medicine, the
University of Michigan Medical School team drew their findings from
data on a representative sample of Medicare participants who died
over a 14-year period. They found the two groups differ in several
aspects of health and independence in the last six months of life.
Participants in Medicare Advantage
plans – the HMO-style plans offered by private companies – were
younger and healthier overall than those enrolled in traditional “fee
for service” Medicare. They were also more likely to be black and
live in cities, and less likely to be poor enough to qualify for
Medicaid. Even after the researchers corrected for differences
between the two groups based on their ages, wealth, and education,
they still found differences.
Medicare Advantage enrollees said their
health was better, reported fewer problems performing daily life
activities on their own, and had fewer memory and thinking issues
than traditional Medicare participants.
Many health policy decisions are made
by looking only at traditional Medicare data, says Elena Byhoff,
M.D., M.S., who led the analysis as a Robert Wood Johnson Clinical
Scholar at U-M.
That’s because it’s easier to get
specific information about what care each patient received, and what
it cost the Medicare program, in fee-for-service care. Private plans
receive a lump sum to care for a population of patients.
When Medicare Advantage was new and
covered a much smaller proportion of Medicare enrollees, basing
decisions just on traditional Medicare data may have been reasonable,
she notes. But enrollment in Medicare Advantage has tripled in the
last 12 years, and now 31 percent of seniors have such coverage.
“Potentially, we’re
overestimating the severity of illness in studies of Medicare
end-of-life care, and evaluations of policy options,” says
Byhoff, an internist and health services researcher who worked on
this study with John Z. Ayanian, M.D., MPP, director of the U-M
Institute for Healthcare Policy and Innovation.
Building on knowledge
Typical studies of end-of-life care use
data that the federal Centers for Medicare and Medicaid Services
(CMS) make available to researchers and policy analysts. The new
study used data from the Health and Retirement Study, based at U-M’s
Institute for Social Research. For over two decades, it has tracked
the health and other characteristics of older Americans through
detailed surveys.
The team obtained data from 9,385
participants who died between 1998 and 2012, just as Medicare managed
care options were taking off. They looked at characteristics as
reported on the last survey that the participants took. Just over 24
percent of the individuals had Medicare Advantage.
Other studies have suggested that the
Medicare Advantage population might be healthier because the coverage
is different, and because the plans aren’t as common in
less-healthy area of the nation.
But the new study is the first to show
such stark differences among those who died -- and Byhoff says she
and her colleagues were surprised at just how different the two
populations were.
Some studies have suggested that
end-of-life care is less expensive in Medicare Advantage. But the
new head-to-head analysis suggests that part of this difference may
relate to who’s enrolled than with what’s covered and how.
“Medicare Advantage can limit
patient options to providers and hospitals within a defined network,”
says Byhoff. “Patients in Medicare Advantage plans are also known
to be more likely to use hospice at the end of life, perhaps because
awareness of that benefit is higher.” Since 2011, CMS has
introduced new programs that seek to improve quality and keep cost
growth sustainable in traditional Medicare, such as Accountable Care
Organizations.
“If we’re going to have a
national conversation on end-of-life care and the spending it drives,
we shouldn’t only base it on data from two thirds of the elderly
population,” says Byhoff. “Future research and policy decisions
should be based on complete utilization data from both major parts of
the Medicare program.”