Use of Health Information Technology to Reduce Health Risk

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Use of Health Information Technology to Reduce Health Risk Sandra M. Foote Senior Advisor, Chronic Care Improvement Centers for Medicare & Medicaid Services September 9, 2005

The MHS Challenge Develop and test new programs to help selected chronically ill beneficiaries reduce their health risks Section 721: Voluntary Chronic Care Improvement in Traditional Fee-For-Service of the Medicare Prescription Drug, Improvement and Modernization Act of 2003

Context Fee-For-Service Medicare 35 million people $281 billion/year (projected 2005)

Subgroups driving costs 40% 35% 30% 25% 20% 15% 10% 5% 0% CHF COPD Diabetes ESRD Dementia Medicaid Died Institutionalized Percent of enrollees Percent of FFS program spending NOTE: Spending is for treatment of all conditions, by enrollee subgroup, 2002 SOURCE: C. Hogan and R. Schmidt, MedPAC Public Meeting, 03/18/2004

MHS Phase I: Developmental 8 pilot programs starting in 2005 20,000 beneficiaries per program; 10,000 per control group randomly assigned Phase II: Expansion follows in 2 3.5 years, if pilot programs (or components) are successful

Program Locations MHS Phase I:Developmental

Key Program Features Voluntary No charge to participants No change in Medicare benefits, choice of providers or claims payment Supportive, not restrictive Not a substitute for current care

Flexible Interventions Medical Care Support Coordination & Communication Beneficiary Self-Care Support Health Risk Reduction

Who is eligible? Medicare Fee-For-Service only Identified by CMS through claims review, applying selection criteria All have diabetes and/or congestive heart failure Only individuals invited by CMS can participate in Phase I programs

Multiple Health Risks 63% of Medicare beneficiaries have 2 or more chronic conditions * On average, Medicare beneficiaries see 6.4 MDs and fill 20 Rx per year* 23% of beneficiaries have 5 or more chronic conditions** *Medicare Standard Analytic File, 1999. Anderson GF. Testimony on Promoting Disease Management in Medicare -www.partnershipforsolutions.com/statistics/ **Medicare Standard Analytic File, 2001. Anderson GF. N Engl J Med 2005; 353; 305-309

Multiple Health Risks Beneficiaries who had 5 or more chronic conditions accounted for 68% of Medicare spending in 2001 5+ Chronic Conditions 68% 0 Chronic Conditions 1% 1 Chronic Condition 3% 2 Chronic Conditions 6% 3 Chronic Conditions 10% 4 Chronic Conditions 12% Percent of Medicare Spending Johns Hopkins University, Partnership for Solutions: Medicare Standard Analytic File, 2001

Coping with Comorbidity Comorbidity is associated with poor quality of life, physical disability, high health care use, multiple medications and increased risk of adverse drug events and mortality. Optimizing care for this population is a high priority. Boyd CM et al., JAMA, 2005, 294: 716-724.

How to Optimize Care? 1650 active Clinical Practice Guidelines (CPGs) in National Guideline Clearing House in July, 2005* Ideally CPGs would help physicians select from among multiple evidence-based recommendations those with the greatest benefit to a given patient. * Need EMR to compute priorities and MD to evaluate with patients in context of their personal goals O Connor PJ. JAMA, 2005, 294:741-743.

MHS Value Added Synthesis of person-level input from multiple sources (participants, claims, multiple physicians, caregivers) Application of sophisticated clinical decision support tools (incorporating multiple CPGs) to: identify modifiable health risks track changes in participants health status Generate preventive care reminders and alerts Assist beneficiaries and MDs weighing priorities and options Use of HIT to help for 180,000 chronically ill people this year Monitoring changes in clinical quality for targeted populations

New Population-Based Model Fees at at risk: QI, QI, $, $, satisfaction Targeted Beneficiaries MHS Organization CMS Beneficiaries Physicians Data exchange Fee per person/month

Expected Results Improved health and quality of life Lower average Medicare costs Reduced complications, emergencies and hospital admissions Increased adherence to evidence-based care guidelines Better coordination of care through use of new integrative infrastructure (e.g., applying new health information and communication technologies)

Where is MHS leading? New strategies to improve chronic care cost-effectively on a national scale Focus on prevention New partnerships Fostering innovation Accountability for performance

National Organizations Helping to Promote Understanding of MHS AND MANY OTHERS!