By Gina Smith, CMRP, AMS, Director of Business Development, Health Industry Distributors Association
Rising acuity levels are driving cost increases at long-term care facilities, according to HIDA’s most recent Extended Care Market Survey. The number of facility administrators reporting higher acuity since last year reached 82 percent, a 9 percentage point increase from the 2015 survey.
The survey found:
Nearly 80 percent of respondents cite higher acuity as a primary cost driver. Additionally, the majority of executives surveyed (73 percent) predict further patient acuity increases over the next two years. A slight majority (53 percent) anticipate their medical supply budget will grow.
Average lengths of stay are holding or increasing. Approximately 32 percent of 2016 respondents report lengths of stay remained the same while 16 percent say it increased, up from 24 percent and 10 percent, respectively, for 2015. Overall, occupancy is the second leading challenge for providers, after attracting talented personnel.
Hospital partnerships become increasingly essential. Long-term care facilities see numerous advantages to partnering with hospitals. About 80 percent of respondents say they are partnering with hospitals to reduce readmissions, while 74 percent list hospitals as a primary referral source. A slight majority (51 percent) cite geographic practicality as a reason for hospital partnership.
Bringing Utilization Data To Suppliers
Sales data can be anywhere from 45 days to 2 years old. To provide suppliers with the most up-to-date information, HIDA has created MarketPULSE to gather patient utilization data directly from providers. Subscribers receive this data within three weeks after the end of the quarter, making it one of the fastest views available in the market.
The information is delivered in a quarterly subscription report for four major markets: acute care, extended care (primarily SNFs), primary care, and laboratory (hospital and POLs). HIDA’s Extended Care MarketPULSE is the first to launch, released this July.
In addition to the national overview of patient activity, survey response data is sorted into six geographic regions, as well as by bed size, allowing subscribers to track regional and facility trends. Subscribers also can compare the present quarter to the previous quarter, the present quarter to the same quarter a year ago, and year over year.
Annual subscriptions and the Extended Care MarketPULSE report are now available at www.HIDA.org/MarketPULSE. For additional information, please call Gina Smith at 703-838-6116 or email GSmith@HIDA.org.