Caring for the elderly (2): hospices

In the United States there has been a huge influx of for-profit companies into what was started as a humane, civilised way of leaving this world in a caring, kindly way.  Profiting from death was the last thing the founders of St. Christopher’s hospice in London thought of when they established the first hospice in the mid-’70s.  But a Washington Post analysis of hundreds of thousands of U.S. hospice records indicates that, as for-profit companies, financed by Wall Street, transformed the movement once dominated by community and religious organizations into a $17 billion industry, patient care suffered along the way.

Between 2000 and 2012, the number of for-profit hospices tripled to 2,196, according to federal figures, compared with about 1,500 nonprofit hospices, including those run by local governments.   In 2012, Medicare spent more than $15 billion on hospice care,

On several key measures, for-profit hospices as a group fall short of those run by nonprofit organizations:

  • For-profit hospices had a smaller proportion of registered nurses than non-profits; patients at for-profit hospices received a narrower range of services; and  for-profit hospices were more likely to restrict enrollment of patients with potentially high-cost care.
  •  For-profit hospices spend less on nursing per patient –  $30 a day per patient on nursing visits, compared with $36 per day for non-profits.
  •  For-profits are less likely to have sent a nurse to a patient’s home in the last days of life.  A typical patient at a for-profit hospice is 22 percent less likely to have been visited by a nurse during this window than a patient at a nonprofit hospice.
  •  For-profits are less likely to provide more intense levels of care for patients undergoing a crisis in their symptoms. Nonprofits offered about 10 times as much of this per patient-day as did for-profits.
  •  For-profits have a higher percentage of patients who drop out of hospice care before dying. 22 percent of  patients leave a for-profit hospice, while only 14 percent leave  nonprofits. High rates of dropout are often viewed as a sign that patients were pushed out of hospice when their care grew expensive, left dissatisfied or were enrolled for hospice even though they were not close to death.

The quality of individual hospices varies widely. In some cases, for-profit hospices provide service at levels comparable to nonprofits, according to the review. But the data analysis, based on hundreds of thousands of Medicare patient and hospice records from 2013, shows that the gap between the for-profits as a whole and nonprofits is striking and consistent. There is a pressure to cut costs and  sparse government oversight.  Hospices are paid a flat daily fee by  Medicare for each of their patients, and this means that the fewer services they provide, the wider their profit margin.

On the plus side for-profits can more easily raise money for investments in equipment and expansion, achieve a size that offers them economies of scale, and are maybe more efficient.  A large hospice can, in theory, afford to lose money on some patients who may need extraordinary care.

My own observations, necessarily limited, suggest that care homes and hospices are run by poorly paid and barely-trained people, often imported from developing countries, with no experience and sometimes poor English.   Serving in such homes is for the staff, unsurprisingly, a temporary expedient before finding a better-paid job.  The care can be rough and casual, the food pretty dreadful, the patients drugged, and the TV permanently on. This is how we push the elderly out of sight and out of mind.

 

 

 

 

 

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3 Comments

  1. I may be mistaken here, you say that the for profit hospices spend less on nursing per patient. Don’t you mean $36 is spend by the non-profits, $30 by the profits? Or do profits spend more per person?

    I’m afraid I have no idea how the American social care system works. Is everyone entitled to social care via Medicare? Is there a funding ‘donut’ like with Medicaid? My only thoughts would be that like with healthcare, the costs of social care are inevitably going to rise much faster than GDP or wage growth, because of our ageing population. The question then becomes, what is the fairest way to pay for it? As usual, I would say taxes are probably the least worst option, because at least they take into account the ability to pay, whereas a flat charge from a private company or public provider would always hit the poorest hardest.

    • You are quite right, Owen. I got the figures round the wrong way, and have corrected them. I don’t know much about Medicaid, except that it is complicated, and at the moment I don’t understand how the donut works. However, with reference to Medicare everyone who reaches old age is allowed to claim on Medicare. The premiums, however, are adjusted for income, so the bigger income you have the more you pay. It is an excellent, well-run program. Of course , there are Republicans wanting to privatise it, since no one is making a profit out of it (!); indeed, reimbursements to doctors are quite low and some will not take Medicare patients.

  2. Think of how utterly ghoulish the situation is. How did it become acceptable, almost “natural,” to make money from those times when human beings are suffering and near death? We monetize dying. Framing all human needs in terms of money–it’s so pervasive in Western culture now that it’s the unconscious default setting–it costs money even to chuck our mortal coil. Wow! I’m starting the 2017 with an un-Epicurean grump, aren’t I? 🙂

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