The Value Quadrant of Healthcare Reform – Part I: Focus on Chronic Disease
Wednesday, July 15th, 2009
President Obama has made healthcare – and rising healthcare costs – a national priority, and it’s easy to see why. As a country, we spend 2 Trillion dollars a year on healthcare, yet one in two Americans, or close to 200 Million of us, suffer from chronic diseases that decrease quality of life and increase healthcare costs.
Click on The Value Quadrant To Enlarge
Chronic disease is a problem that many physicians see daily in their clinical practices…I sure did. It is one that causes countless unnecessary and avoidable hospitalizations. This problem largely reflects a lack of simple coordination of information and care processes, as well as a lack of programs and approaches for patients with chronic disease to become more involved in their daily self-care.
Unfortunately, the burden of chronic disease falls largely to the elderly and vulnerable, in other words, Medicare and Medicaid beneficiaries. As an example, if you are a Medicare beneficiary with congestive heart failure, you and your peers consume 40% of the Medicare annual budget. A short list of chronic conditions account for 95% of Medicare expenditures, and over 80% of Medicaid costs. It is a small wonder that the Medicare Trust Fund is predicted to be insolvent by 2018!
So…how can healthcare reform properly focus on achieving the biggest bang for the buck? (In other words, move to the Value Quadrant). Read the rest of this entry →
