Health Affairs

Health Affairs, 22, no. 5 (2003): 146-156 doi: 10.1377/hlthaff.22.5.146 © 2003 by Project HOPE	New Online   Getting Health Reform Done   After the State of the Union   Incremental Reform   E-Health in Developing World   Most-Read Articles in 2009

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TRENDS

Trends In Medicare Home Health Care Use: 1997–2001

Christopher M. Murtaugh, Nelda McCall, Stanley Moore and Ann Meadow

The Balanced Budget Act of 1997 mandated a major overhaul in Medicare payment for home health care with an interim payment system (IPS) preceding a prospective payment system (PPS). This study extends an earlier analysis of the impact of the IPS to determine whether home health use and spending trends changed after the introduction of the PPS. The rapid decline in the incidence of use and visits per user under the IPS slowed in its final year and then picked up again in the first year of the PPS. In addition, average payment per visit increased sharply under the PPS. Little is known about the impact of continued large reductions in home health services since 1999.

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