Although readmission rates appear to have declined since the HRRP was implemented in 2012, Herrin et al.
Although reducing readmissions appears desirable because it may improve older adults' health and reduce costs, how will we know if the HRRP policy has, in fact, been successful?
As the HRRP was implemented, the intended outcome, readmissions, has already started to change.
Access and quality outside the hospital may affect the degree to which the HRRP can achieve its intended outcome, fewer readmissions, but other factors are likely to determine whether the policy is an operational success.
We simulated the payment impact of each hospital in FY 2015 under the HRRP using the RSRR computed from the regression analysis and the payment policy rules.
Hospitals in the top quartile of percent of dual eligibles will be disproportionally subject to Medicare payment reductions under the HRRP.
The need to "bend the cost curve" will put increasing pressure on the federal government to both increase the cap on the penalties as well as the number of conditions covered by the HRRP.
Expanding the HRRP in its current form may have negative effects on dual eligibles and other vulnerable populations for a number of reasons.
Actual lost revenue due to payment adjustment under HRRP
may be limited by caps on the maximum adjustments that can be made in a given year.
Our analysis of news stories from the first year of operation of HRRP suggests that the higher the actual penalty, the higher the perceived cost of the penalty, the more likely it is that the hospital would state it has no control over the low-income patients it serves, and the more likely it is that a hospital will describe itself as a safety net provider of hospital services.
The purpose of this study is to investigate whether readmission penalties under HRRP impose significant reputational effects on hospitals and whether these effects vary based on the size of the penalty.
The category selection process involved using preselected themes based on our knowledge of HRRP and its potential effects obtained from news stories, the academic literature and technical reports, as well as by the reading of 10% of the articles identified to reassess and refine preselected themes.