The Benefits of Managed Care?
While there are many criticisms of managed care, apparently there are some benefits as well, especially in hospitals. Consider the findings of KPMG Peat Marwick:1
Discretionary Hospital Costs
High Managed Care Markets - 11.5% lower (than expected) Lower Managed Care Markets - 3.6% higher
Patient Hospital Stays
High Managed Care Markets - 16.9% lower
Lower Managed Care Markets - 17.5% higher
Hospital Mortality Rates
High Managed Care Markets - 8% lower
Lower Managed Care Markets - 4% lower
Reference
1. Managed care may be beneficial to your health and your pocketbook. Managed Care Study: Media Summary, June 1995,
KPMG Peat Marwick. (Editor's note: KPMG Peat Marwick is a professional consulting firm that provides services to many
markets, including managed care organizations.)
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