Reference-based pricing: an evidence-based solution for lab services shopping.

OBJECTIVES: To determine the effect of reference-based pricing (RBP) on the percentage of lab services utilized by members that were at or below the reference price. STUDY DESIGN: Retrospective, quasi-experimental, matched, case-control pilot evaluation of an RBP benefit for lab services. METHODS: The study group included employees of a multinational grocery chain covered by a national health insurance carrier and subject to RBP for lab services; it had access to an online lab shopping tool and was informed about the RBP benefit through employer communications. The reference group was covered by the same insurance carrier but not subject to RBP. The primary end point was lab compliance, defined as the percentage of lab claims with total charges at or below the reference price. Difference-in-difference regression estimation evaluated changes in lab compliance between the 2 groups. RESULTS: Higher compliance per lab claim was evident for the study group compared with the reference group (69% vs 57%; P<.05). The online shopping tool was used by 7% of the matched-adjusted study group prior to obtaining lab services. Lab compliance was 76% for study group members using the online tool compared with 68% among nonusers who were subject to RBP (P<.01). CONCLUSIONS: RBP can promote cost-conscious selection of lab services. Access to facilities that offer services below the reference price and education about RBP improve compliance. Evaluation of the effect of RBP on higher-cost medical services, including radiology, outpatient specialty, and elective inpatient procedures, is needed.

Prioritized post-discharge telephonic outreach reduces hospital readmissions for select high-risk patients.

OBJECTIVES: To determine if post-discharge telephonic case management (CM) reduces emergent hospital readmissions for select high-risk patients. STUDY DESIGN: Prospective, randomized. METHODS: We conducted a prospective, randomized control study of the effect of hospital discharge planning from health plan telephonic case managers on readmissions for high-risk patients. High risk was defined as having an initial discharge major diagnosis of gastrointestinal, heart, or lower respiratory and length of stay of 3 days or more. The intervention group (N = 1994) received telephonic outreach and engagement within 24 hours of discharge and their calls were made in descending risk order to engage the highest risk first. The control group (N = 1994) received delayed telephonic outreach and engagement 48 hours after discharge notification and no call order by risk was applied. Comparison groups had statistically equivalent characteristics at baseline (P > .05). RESULTS: The intent-to-treat 60-day readmission rate for the treatment group was 7.4% versus 9.6% for the control group (P = .01), representing a 22% relative reduction in all-cause readmissions. Two post hoc assessments were conducted to identify potential mechanisms of action for this effect and showed that the treatment group had more physician visits and prescription drug fills following initial discharge. CONCLUSIONS: Telephonic CM reduces the likelihood of 60-day readmissions for select high-risk patients. This study suggests that prioritizing telephonic outreach to a select group of highrisk patients based on their discharge date and risk severity is an effective case management strategy. Future studies should explore patients' activity beyond phone calls to further explain the mechanism for readmission reduction.