Nursing home report cards offer financial incentives to improve quality

Share this article:

Nursing homes that show quality-of-care improvements on public report cards stand to see higher profit margins and revenue. But if a facility's score reflects improvement yet still results in a relatively poor quality rating, a facility isn't as likely to yield financial gains, according to a new study published in the journal Health Economics.

It can be expensive for nursing homes to make big enough changes to improve their quality-of-care scores, so they can be tentative about doing so. Instead, they want to see evidence that ratings improve the bottom line before making such changes, Health Behavior News Service reported.

The researchers compared nursing homes' financial performances from before and after the Centers for Medicare & Medicaid Services started recording the quality of care. The Nursing Home Compare report card, introduced in 2002, reflects how well each facility controls patients' pain, prevents bedsores and keeps their residents active, among other criteria.

Typically, financial improvements are the result of an increase in Medicare and private-payer patients, researchers said. Since these types of residents are more likely to choose higher-quality facilities, a trend could develop that further widens the differences between better-performing and poorer performing nursing facilities, lead author Jeongyoung Park, Ph.D., of the American Board of Internal Medicine, said.

Share this article:

More in News

CMS needs to get nursing home staffing information directly from payroll systems, Congressional leaders say

CMS needs to get nursing home staffing information ...

Federal regulators should start collecting nursing home staffing information directly from payroll systems as soon as possible, members of the Congressional Seniors Task Force said in a letter to a ...

Male CNA who wears women's clothing can pursue charges that nursing home ...

A Texas certified nursing assistant can continue to pursue charges that his former nursing home employer has made false, defamatory statements about him in the job referral process, a federal court recently ruled.

High-profile consumer advocacy group sues over broken Medicare appeals process

Long-term care providers have been outspoken in their criticism of the Medicare appeals process, which has all but ground to a halt. Now a class-action lawsuit says Medicare beneficiaries also are being harmed by the excessively long delays.