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Table 2 Effect of hospital variation on state-wide charges for nonspecific chest pain in 2005

From: Variation in the use of observation status evaluation in Massachusetts acute care hospitals, 2003–2006

 

Observation

Inpatient

Total statewide evaluations at all 74 hospitals

24,043

16,093

Actual 2005 statewide charges

$151,026,323

Unknown

Total statewide evaluations at 59 hospitals reporting charge data

19,596

14,895

Actual 2005 charges at 59 hospitals reporting charge data

$122,800,528

$121,045,318

Scenario 1: All hospitals perform at least at 50th percentile (pOBS ≥ 58%)

Projected evaluations

21,737

12,754

Projected charges

$136,751,072

$103,682,115

Potential statewide annual savings

$3,412,659

 

Scenario 2: All hospitals perform at least at 75th percentile (pOBS ≥ 64%)

Projected evaluations

22,880

11,611

Projected charges

$143,862,471

$94,458,641

Potential statewide annual savings

$5,524,734

 
  1. *Charge projections done at hospital level assuming mean hospital charge for CCS 102
  2. **50th percentile (pOBS = 58%) and 44 hospitals below the 75th percentile (pOBS = 64%)