Study: Inpatient Hospital Payments 2 Percent Lower for Medicare Beneficiaries in Rural Settings

Compared with non-rural settings, per-capita hospital service payments are 2 percent lower for Medicare beneficiaries in rural settings, according iVantage Health Analytics' Rural Relevance Under Healthcare Reform: A Tracking Study.

Additionally, per-capita physician service payments for Medicare patients are 18 percent lower in rural settings, although outpatient service payments are 14 percent higher, according to the report. Cost per Medicare beneficiary is 3.7 percent lower overall for rural beneficiaries compared to those in urban areas.

"Rural hospitals have achieved a noteworthy level of comparative performance including: demonstrated quality, patient satisfaction and operational efficiency for the type of care most relevant to rural communities," John R. Morrow, executive vice president of iVantage, said in the release.

The study challenges the misunderstanding that rural hospitals are more costly, less efficient and have lower satisfaction and quality ratings. It found rural hospitals have better performance in patient satisfaction and operational efficiency with lower levels of in-hospital, risk-adjusted morality, according to the release.

More Articles on Rural and Community Hospitals:

Quint Studer: Community Hospitals Must Lead With Experience, Close With Compassion
Is the Community Hospital a Dying Model, or is it the Future of Healthcare?
Community Hospital CEO Panel: 3 Leaders Share Insights on the State of Community Hospitals

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