Abstract TP375: Delivering Comprehensive Stroke Services can be Financially Beneficial to a Community Hospital
Background and Purpose: Primary Stroke Centers may be reluctant to develop capabilities to deliver comprehensive stroke services due to the cost of investing in physicians, staff and technology. Additional factors influencing administrators’ decision to pursue comprehensive stroke care include reimbursement rates, increasing numbers of uninsured patients, and local competition. The purpose of this study was to determine the financial benefit to both a single community hospital and to its sister facilities within the same healthcare system, by comparing performance before and after initiating comprehensive stroke care.
Methods: Financial data was analyzed from two 2-year periods, one before and one after comprehensive stroke care services were launched at one of nine community-based hospitals within a community hospital system.
Results: The number of admissions for all cerebrovascular diagnosis (ICD9 430-438) increased by 88% at the comprehensive site and 5.6% in the other combined system hospitals, in the two year period after advanced stroke care was introduced. Earnings before interest, taxes, depreciation, and amortization (EBITDA) per case, an indication of operational profitability, rose from a negative to a positive value at the comprehensive site hospital. The combined mean contribution margin (CM) per admission increased by 62%. Quality indicators were maintained or improved during this transition.
Conclusion: This study showed that a Primary Stroke Center that was previously experiencing losses per stroke admission gained a significant benefit in profitability and income after converting to comprehensive services. By launching the program as part of a network of care, the system also experienced an overall benefit as evidenced by a market share gain in cerebrovascular care from 20.21% to 23.49%.
- © 2012 by American Heart Association, Inc.