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The Calculation of Geographic Practice Cost Index and the Feasibility of Using It in Korean Payment System / 보건행정학회지
Health Policy and Management ; : 130-137, 2019.
Article in Korean | WPRIM | ID: wpr-763917
ABSTRACT
The fee-for-service system is used as the main payment system for health care providers in Korea. It has been argued that it can't reflect differences in the medical practice costs across regions because the fee schedule is calculated based on the average cost. So, some researchers and providers have disputed that there is need for adopting geographic practice cost index (GPCI) used in the United States for the Medicare program for the elderly to the fee-for-service payment system. This study performed to identify whether the difference in the practice costs among regions exists or not and to examine the feasibility of applying GPCI to Korea payment system. For this purpose, we calculated modified-GPCI and examined considerations to introduce GPCI in Korea. First we identified available data to calculate GPCI. Second, we made applicable GPCI equations to Korea payment system and computed it based on four types of regions (metropolitan, urban, suburban, and rural). We also categorize the regions based on the availability of the medical resources and the capability of utilizing them. As a result, we found that there wasn't any significant difference in the GPCI by regional types in general, but the indices of rural areas (0.91–0.98) was relatively low compared to the indices of other regions (0.96–1.07). Considering the need to use GPCI floor, the pros and cons of using GPCI, and the concern of the regional imbalance of resources, the introduction of GPCI needs to be carefully considered.
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Full text: Available Index: WPRIM (Western Pacific) Main subject: United States / Relative Value Scales / Medicare / Health Personnel / Fee-for-Service Plans / Fee Schedules / Korea Type of study: Health economic evaluation Limits: Aged / Humans Country/Region as subject: North America / Asia Language: Korean Journal: Health Policy and Management Year: 2019 Type: Article

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Full text: Available Index: WPRIM (Western Pacific) Main subject: United States / Relative Value Scales / Medicare / Health Personnel / Fee-for-Service Plans / Fee Schedules / Korea Type of study: Health economic evaluation Limits: Aged / Humans Country/Region as subject: North America / Asia Language: Korean Journal: Health Policy and Management Year: 2019 Type: Article