PACE and the Medicare+Choice Risk-Adjusted Payment Model

This paper investigates the impact of the Medicare principal inpatient diagnostic cost group (PIP-DCG) payment model on the Program of All-Inclusive Care for the Elderly (PACE). Currently, more than 6,000 Medicare beneficiaries who are nursing home certifiable receive care from PACE, a program poise...

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Bibliographic Details
Main Authors: Helena Temkin-Greener (Author), Mark R. Meiners (Author), Leonard Gruenberg (Author)
Format: Book
Published: SAGE Publishing, 2001-02-01T00:00:00Z.
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Summary:This paper investigates the impact of the Medicare principal inpatient diagnostic cost group (PIP-DCG) payment model on the Program of All-Inclusive Care for the Elderly (PACE). Currently, more than 6,000 Medicare beneficiaries who are nursing home certifiable receive care from PACE, a program poised for expansion under the Balanced Budget Act of 1997. Overall, our analysis suggests that the application of the PIP-DCG model to the PACE program would reduce Medicare payments to PACE, on average, by 38%. The PIP-DCG payment model bases its risk adjustment on inpatient diagnoses and does not capture adequately the risk of caring for a population with functional impairments.
Item Description:0046-9580
10.5034/inquiryjrnl_38.1.60