AN APPROACH TO EXAMINING GEOGRAPHIC VARIATION IN HEALTHCARE SPENDING AND UTILIZATION IN THE CANADIAN WORKERS COMPENSATION SYSTEM

Author(s)

Sharpe K1, McGrail K1, Mustard C2, McLeod C1
1University of British Columbia, Vancouver, BC, Canada, 2Institute for Work and Health, Toronto, ON, Canada

Presentation Documents

With growth in demand for scarce healthcare resources due to new technologies, diagnostics, and aging patient populations, one area that healthcare decision makers have looked towards is geographic variation in healthcare utilization and spending. A large body of research has documented considerable variation in healthcare systems related to supply of resources or practice patterns, rather than patient need or preferences. In particular, higher than average spending tends to be related to the local supply of physicians, healthcare facilities and medical equipment. Diagnostic imaging is an example where local supply influences frequency of use. Regional differences in physician practice style, such as issuing more or fewer prescriptions, also impacts variation. Far less attention has been paid to alternative systems like Canada’s workers’ compensation boards (WCBs), which are responsible for treating injured workers and returning them to work. Operating in parallel to Canada’s universal system, WCBs utilize financial incentives for expedited care, structured recovery programs, target driven guidelines for healthcare professionals and specialized clinics to deliver care. A jurisdictional scan of workers’ compensation healthcare was conducted in five Canadian provinces and the results suggest that many of these approaches are directed at managing supply-sensitive care and differences in physician practice style, which may result in less variability in healthcare compared to other medical systems. This poster summarizes the different approaches to healthcare in five Canadian WCBs and discusses their implications in adapting geographic variation methodologies to the workers’ compensation context and interpreting the results. The application of these methodologies will be beneficial for WCB policy-makers who must balance the need to set fair employer premium rates against the rising costs of healthcare. Lessons from this application will also be of interest to policy-makers and researchers interested in the use of economic incentives and innovative structures for care delivery to reduce unwarranted variation.

Conference/Value in Health Info

2019-05, ISPOR 2019, New Orleans, LA, USA

Value in Health, Volume 22, Issue S1 (2019 May)

Code

PNS19

Disease

No Specific Disease

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