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Unnecessary trips to hospital ER cost $4.4 billion, study finds

By | September 7, 2010, 11:14 AM PDT

We all know that some folks rush to their local hospital’s emergency room for things that are, well, less than an emergency.

But how often does that happen, and how much is it costing us?

About 17 percent of visits to the ER in the U.S. could be treated elsewhere at retail medical clinics or urgent care centers, according to a new RAND Corporation study.

The savings if that occurred? About $4.4 billion. (Yes, with a “B”.)

Most of us are aware of the idiosyncrasies of the healthcare system in the U.S., and there is not enough space in this blog post to detail them all. But the major point is as follows: there’s a shortage of doctors in the U.S., and not enough hours in the day to see patients — so when a condition arises, some folks skip the limited hours and long lead times for appointments and head to the ER.

The problem is that, for some of these trips, the ER is no place to go: there are still significant wait times (so much for “emergency”) and worse, it will cost a small fortune — for both the patient and taxpayers at large — when it’s over.

What RAND social scientist Robin Weinick and University of Pittsburgh professor Ateev Mehrotra suggest in the study is that patients ought to consider seeking out retail clinics — the ones located in pharmacies or grocery stores, which are usually staffed by nurse practitioners who can handle urinary tract infections or sore throats — or urgent care centers, which are staffed by physicians and can handle more serious conditions, such as minor fractures and serious cuts.

Both facilities tend to be open in the evenings and on weekends and can handle surprise visits. Better still, they’re “substantially” cheaper than the ER.

In the study, researchers analyzed information about patients who visited retail medical clinics and urgent care centers and compared it to profiles of patients who visited hospital emergency rooms in 2006.

What they found is that 13.7 percent of the ER visits in the survey could have been treated at a retail medical clinic from an injury point-of-view; the figure drops to 8 percent if you restrict those to when retail clinics are typically open.

Moreover, the researchers found that an additional 13.4 percent of all hospital ER visits could be treated at an urgent care center. Again, the figure drops to 9 percent if urgent care center hours are taken into consideration.

Overall, that means that 27.1 percent of all hospital ER visits could have instead been managed at a retail clinic or urgent care center. When taking office hours into consideration, 16.8 percent or ER visits could have been rerouted to an alternative facility.

One caveat about the study’s findings: it did not evaluate whether retail clinics and urgent care centers currently have the capacity to handle substantially higher numbers of patients.

Nevertheless, the data is an early look at quantifying the holes in the U.S. healthcare system. With more knowledge, service gaps can be closed.

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Andrew Nusca

About Andrew Nusca

Andrew Nusca is editor of SmartPlanet.

Andrew Nusca

Andrew Nusca

Editor

Andrew Nusca is editor of SmartPlanet and an associate editor for ZDNet. Previously, he worked at Money, Men's Vogue and Popular Mechanics magazines. He holds degrees from the Columbia University Graduate School of Journalism and New York University. He based in New York but resides in Philadelphia.

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Andrew Nusca

Andrew Nusca
Andrew Nusca does not hold any investments in the companies he covers.
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+1 Vote
+ -
I have written about that at ZDNet Healthcare
There are now concierge services you can buy that will tell you
whether to go to the emergency room. And they follow up by
letting the ER know you're coming.

Of course none of this matters if you can't afford basic care and
you're using the ER as a primary care facility.

Ending that is one of the points of health reform. But I don't think
saying "you're covered" will, by itself, solve the problem. A larger
scaled system like this concierge calling feature, perhaps offered
by Medicare under a contract, would more than pay for itself. You
just need a financial model to justify the initial cost.
Posted by DanaBlankenhorn
7th Sep 2010
+1 Vote
+ -
Massachusetts covers, but ER still a problem.
Massachusetts, whose health care law is the basis for much of the federal law, has 98 percent coverage and ER visits have gone up since the law was passed.

The same people who visited the ER for everything before the law still visit the ER for everything, but now they come in waving their state insurance cards. And they bring their covered friends.

You cannot solve the ER problem until you add even modest co-pays for non-emergency ER visits to encourage the use of primary care doctors.

Attempts to setup scheduled ER visits, as proposed in the article, have been shot down by Massachusetts Democrats as unfair to those covered by state health insurance. When asked why the answer is simple. It is unfair because they are poor.

As I have said a hundred times before. Cover the people, but make them play by the same rules to get health care. People getting health insurance coverage for free do not have a right to better care options than people paying for it themselves.

Give them the same access to health care. No better. No worse.
Posted by Hates Idiots
7th Sep 2010
+1 Vote
+ -
RE: Unnecessary trips to hospital ER cost $4.4 billion, study finds
Dana's got it, as usual.

Sorry to break it to you "Hates", but your copay solution won't
curb those ER visits much, for a variety of reasons. Here's one: a
lot of those people using ERs willy-nilly are insured, and do face
1st-dollar ER charges already. Yet they still go. Why?

What's needed is more systematic means of handling non-life-
threatening acute & primary care. Dana's post mentioned one
avenue, but several approaches may work, and any are better
than the asystematic "system" we currently all pay so dearly for.
Posted by gjudd@...
8th Sep 2010
+1 Vote
+ -
Simple, $-making solution
Since many retail clinics are owned by those who own the hospital ERs, a simple status board showing current, decaying average wait times at various facilities (ER, clinic, retail, etc) would ecourage more efficent resource use and thus make $$. Add some brochures & maps to provide details once people's interest is picqued and its a done deal. Remember, the clinic & the ER folks costs are near constant so it makes sense to keep all pipelines filled as much as possible... with the benefit of better service.
Posted by ksweere
8th Sep 2010
+1 Vote
+ -
Economic incentives are best
@DanaBlankenhorn: I'd sure like to know how these concierge services handle the liability of sending a patient to a facility that ultimately can't handle the patient's condition. Is this done over the phone or by a visit? If it's by phone, it's an invitation to a malpractice suit if they miss the seriousness of the patient's condition (no doctor will diagnose over the phone). If it's a visit, it seems like an extra wasted step. If you're not in any life-threatening danger, go to the clinic first, and then they can tell you where to go if they can't handle it. It's as good as a concierge and probably cheaper.

@gjudd: Obviously simple fixed copays aren't the best way to handle the situation. Patients should pay a modest copay for going to a clinic, more for going to the ER. Or you can charge a really high copay when the patient goes to the ER when it could have been handled at a clinic. A lot of patients know the flu can be handled at a clinic, but go to the ER because it doesn't cost them anything extra -- everybody thinks they "deserve" the best care possible even when it's overkill.
Posted by zackers
8th Sep 2010
+1 Vote
+ -
Anyone else see the elephant in the room?
2 reasons:

1) They're conveniently located, easy to find, and open 24/7.

2) If you are unable or unwilling to pay, they're free.

Tough to compete with that.
Posted by JohnMcGrew@...
8th Sep 2010
+1 Vote
+ -
Correction g.
Under the situation mentioned, where the people are covered by the state of Massachusetts, they do not pay a co-pay for ER visits. The proposal would have set an ER co-pay for non-emergency visits only.

Which is still better than the coverage most people have with insurance they pay for where they have a co-pay for all ER visits.

The non-emergency ER co-pay would have been double a standard office visit co-pay to promote using a primary care doctor.

Several hospitals even offered to provide free shuttle service over to local clinics for patients seeking non-emergency treatment like physicals. Yes people do go to ERs looking for all kinds of services like physicals since this law was passed here.

The hospitals were wrongly accused of trying to dump patients in need of CRITICAL care. The accusers seemed to miss the part of the proposal that said it was applicable to very specific non-emergency situations.
Posted by Hates Idiots
8th Sep 2010
+1 Vote
+ -
RE: Unnecessary trips to hospital ER cost $4.4 billion, study finds
JohnMcGrew has it.....

That's tough to beat, any way you look at it....
Posted by Mad Axeman
8th Sep 2010
+1 Vote
+ -
RE: Unnecessary trips to hospital ER cost $4.4 billion, study finds
In the state of California, the problem is not just insured people going to the ER because they feel that it is the best care possible. There are tons of immigrants and others who can't pay for their medical care, can't be turned away from the ER by law, and have no other option. This results in a lot of people going to the hospital with the flu, an ingrown toe nail that got infected, etc. Some hospitals even offer a discount for uninsured patients, such as Mercy.

The point here is that there is a shortage of health professionals, and far too many people around that are either ignorant of their options (willingly or not), or have no other choice for care. Of course it would save us all money if the health care system was reformed! Billions of dollars could be going toward a solution, but someone must be trying to keep the profits...hmm...who could it be...?
Posted by p_rikka@...
9th Sep 2010
+1 Vote
+ -
RE: Unnecessary trips to hospital ER cost $4.4 billion, study finds
This story is such a good example of how some people just don't get it! These are reporting #'s and statistics. But they don't grasp the reason and why!That's how it is when all of your reporters in todays society no longer have anything in common with common man because they like over paid fellow office worker. Do not have simple problems like Wow I might not have enough money for gas to get to work this week or enough food to feed my kids till payday. Plus since they put the new computerized PG&E meters up my bill has went from 66 dollars a month to $350! Because being that your jobs are so much more technical and beyond the working man you get things like a salary that pays between 45 to 85 thousand a year with full benefits and insurance. While us low life scum that do all of your dirty work that you probably could not figure out on a good day how to complete. Are so appreciated that we get paid barely above minimum wage with no benefits are insurance what so ever. The benefit we are told that we get for our 7 dollar in hour job is that we are dam lucky to be working for you and if are bosses decide the want a new rental property or 7 vacation for the year! We are then informed that oh things are tough were going to have to cut back and cut your pay and hours but your still expected to get the same amount of work done!!!

Now you see when you fall down a get a boo boo. You just go to a 24 hour health care provider and flash that company paid blue cross blue shield card and they just fix you and your family's right up mo questions asked they will file all the paper work for ya and even pay for your prescriptions when you leave! Boy ain't America grand! Did not even have to bother going to the Emergency room and sit there for 14 hours with all the other dying miserable scumbags! Gosh you just saved America all types of time and money! Heck they may even give you a tAx cut for it! God Bless you!

Now when we fall down because of working in **** conditions because are employers were to cheap to provide any kind of safety material and will fight you tooth and nail on your work comp claim and you were at a party 2 weeks ago sitting next to some pot heads! SO you are gonna get Drug tested then denied your rightful comp claim!Because you know things are tough all over! I am putting in a new pool and sending my kids to private school! So off we go down to the 24 hour clinic! Its hello can I have your insurance provider. I don't have insurance!There it is OHHHHHH its those broke freeloading laborers look form the nurse! Well sir do you have the cash to cover these potential medical proceedings! No I work for a Republican! Well sir your going to have to leave immediately and quit bleeding on the carpet! If you don't vacate the property sir we are going to call the police! But I am bleeding to death! Sorry sir that is not our problem! Well got no choice either become Rambo and stitch myself up or I better hope I can make it to the emergency room before I bleed to death! Because all of us low life ya know just love going their at the drop of a hat rather then going to the drug store and buying some cough syrup! Naw we would much rather wreeth in agony for 10 to 14 hours in a nasty smelling place with a bunch of other scum,bags like ourselves! OWW and if we leave the room to go poop and come back and they called your name while you were gone. You get sent to the back of the line again to start your wait over! Yes we just love going to the ER because it is the only option available to us! Not hat after 20 hours of agonizing hell when we finally get to see the first year scrub if we are lucky most likely we will only make it to the Nurse. They will abuse you then ship ya out because you no insurance folks are sure as hell mot going to take up one of our big money making rooms! So then we get the prescription and of course there is no Generic for it! So for the Bottle of antibiotics and the bottle of anti-inflammatory and the bottle of pain killers that you had to fight tooth and nail to get because you might be a drug addict or even worse get hooked off of those whole 12 pills that they are giving to you.! So you git your big crap 800 mg Ibuprofen tablets! What a joke by the way! The Pharmacist takes 2 hours to fill your prescription and when you get it the bill for the pills is 750 dollars! Oh forget that! can you please direct me to the isle were you keep the Generic aspirin!! I better hurry and get back to my job before I get fired!

THat is the reason people go to the ER!!!!!!!!!!!!!!!!!Its the only place they can got when they have had a accident or have become ill! Because thank God and a few Liberals prevented the Republicans from allowing The ER to turn people away who had no insurance or money! So when you Rocket scientist so you think! Get a clue that is why we got to the ER!It is the last resort and we actually avoid it at all cost! So the next time you are out on the Golf course discussing our terrible 4.4 million ER problem and that it can all be fixed by just sending them to your May berry drug store! Why don't you make sure you have a god dam clue first!
Posted by ibdirtpoe@...
10th Sep 2010
+1 Vote
+ -
I feel your pain ibdirtpoe..
But do not shoot the messenger if you do not like the message.

We have years of data in Massachusetts that backs up what I am saying.

Since the health care reform here now covers 98 percent of all people we have seen an INCREASE in the number of visits to the ER for non-emergency services.

YES we have people going in Emergency Rooms demanding mammograms.

YES we have people going into ERs demanding prostate exams.

YES we have people walking into ERs asking for Doctor X and throwing a fit when THEIR doctor is not working that day. And their problem is such an emergency that they refuse to see any other doctor and demand to know when doctor X is working next.

YES they storm out of the ER and come back the next day to see doctor X for their monthly checkup they feel entitled to get under the free state insurance.

YES these are very real problems being encountered in the state of Massachusetts right now.

YES these events happen often.

YES there have been major layoffs in Massachusetts hospitals because the state is broke and is a year behind in reimbursements for the free care provided by hospitals.

YES 6 hospitals filed suit against the state looking for the money they are owed.

Yes the local liberal media has buried the health care nightmare the state is in to protect Governor Patrick while he tries to get reelected this November.

Grow up if you cannot deal with the fact that the new and improved Massachusetts health care system is a mess and the federal system is based in large part on the Massachusetts system.
Posted by Hates Idiots
10th Sep 2010
+1 Vote
+ -
Fix the problems, not the symptoms
A major issue is that the number of new doctors has been intentionally limited to keep doctors salaries artificially elevated. I would suggest reading articles such as:
http://wallstreetpit.com/5769-the-medical-cartel-why-are-md-salaries-so-high

or

http://en.wikipedia.org/wiki/American_Medical_Association (look under Criticisms)

or

http://www.usatoday.com/news/health/2005-03-02-doctor-shortage_x.htm

I would even go further to say that much of the problem of doctor shortage, misuse of emergency services and high medical cost is directly attributable to an overly restrictive prescription drug policy that is designed to provide a lucrative cash flow for doctors.
For instance, I am particularly susceptible to sinus infections. The symptoms are very distinct to me and are not similar to a cold or flu. When I get a sinus infection I am required to make an appointment at my primary care facility, which usually takes about a week to get an appointment and costs me and my insurance company about $70 collectively so that the doctor can tell me that I have a sinus infection, which I told him when I made the appointment, and then write a prescription that will cost me and my insurance company about $60 more dollars combined to get filled. I won?t even begin to address why the antibiotics cost $60, though it too is partly responsible for the elevated cost of medical care. The larger issues are that I spent a week feeling ill so that when I finally got in to see the doctor $130 would seem like a bargain and diagnosing that a sinus infection needs antibiotics is about as difficult as determining a cut needs a band-aid. But, more importantly, the time that I spend in the doctor?s office occupies the time that someone who may be more acutely ill could have used, but instead decided that the emergency room was a better option when they found out their doctor could not see them for a week and any of the other doctors they called in the phone book would take a couple of months to work in new patients, if they were accepting any. If we wanted to make better use of our physician resources I would suggest that pharmacist be encouraged to write prescriptions for common ailments, particularly if the medications are not subject to abuse, such as antibiotics and antihistamines.
Also, one type of patient that is common to emergency rooms is asthma sufferers who experience severe and chronic asthmatic episodes. When a standard inhaler is not sufficient the treatment is to breathe vaporized medication through a ventilator at the emergency room. This is common enough and usually those affected are experienced enough to identify when their need warrants advanced treatment that is only available in a hospital or larger urgent care facility. Couldn?t this type of treatment be administered at the local pharmacy too?
Unfortunately, a majority of the health care issues are derived from the medical industry themselves and their desire to optimize return while minimizing effort. This is no different than any other business and I am not intending to be critical of this fact, but the practice of concentrating health care to an elite few has and will have an effect to the determent of us all.
Posted by james.graham@...
13th Sep 2010
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