Study: Infection Prevention May Reduce Hospitals' Margins

Central line-associated bloodstream infections may increase a hospital's margins, creating a disincentive to reduce these infections, according to a study in American Journal of Medical Quality.

Researchers compared the costs, reimbursements and margins for one Hawaii hospital and its payers for intensive care unit patients who developed a CLABSI with patients who did not develop a CLABSI. Here are the findings for the study period — January 2009 to December 2011:


•    The average hospital cost was $222,692 for CLABSI patients compared with $80,144 for the matched controls.
•    The average reimbursement was $259,433 for CLABSI patients compared with $72,543 for the matched controls.
•    The average margin was $54,906 for CLABSI patients compared with $6,506 for the matched controls.

While reducing CLABSIs would reduce hospitals' costs, it would also decrease their margins, "which creates a perverse incentive to have more line infections," the authors state. "An optimal reimbursement system must reward hospitals and payers for preventing harm rather than treating illness."

More Articles on Infections and Costs:

AHA Clarifies Study on Surgical Errors, Hospital Profits
Hospitals Benefit Financially From Surgical Complications

A Revenue Leak Soon Turns to Flood: How Payment Penalties for High Infection Rates Could Drain Hospital Finances

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