Statistics - Know Your Facts:
Hospice Costs
Published on Thu Feb 19, 2004
Hospice may be more cost effective for younger patients than older ones, says a new study - and that could change how hospices do business in the future. A recent RAND Corp. study is recommending clinicians and policy-makers rethink their hospice approach (see related story, "Hospice Costs More Than Traditional Care, Study Claims"), and here are some of the facts they'll be basing their decisions upon: The ratio of Medicare beneficiaries who used the hospice benefit increased from 9 percent in 1992 to 23 percent in 2000. Costs for non-cancer study patients ages 68 to 79 averaged $1,356 more in the last year of life than those receiving traditional medical care. Costs were $3,725 more for non-cancer patients age 85 or older in the last year of life than those receiving traditional medical care. Patients with heart failure had costs that were 16 percent higher on average than heart failure study subjects not enrolled in hospice care. Costs were $1,703 lower than traditional medical care in the last year of life for cancer patients ages 68 to 79 who used hospice, while costs were $1,193 higher for cancer patients ages 85 and older using hospice. Source: RAND Corp. summary of hospice cost study .