Economic implications of decreased elective orthopaedic and musculoskeletal surgery volume during the coronavirus diseas
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ORIGINAL PAPER
Economic implications of decreased elective orthopaedic and musculoskeletal surgery volume during the coronavirus disease 2019 pandemic Matthew J. Best 1
&
Keith T. Aziz 1 & Edward G. McFarland 1 & Gerard F. Anderson 2 & Uma Srikumaran 1
Received: 7 June 2020 / Accepted: 6 July 2020 # SICOT aisbl 2020
Abstract Purpose In order to reduce viral spread, elective surgery was cancelled in most US hospitals for an extended period during the COVID-19 pandemic. The purpose of this study was to estimate national hospital reimbursement and net income losses due to elective orthopaedic surgery cancellation during the COVID-19 pandemic. Methods The National Inpatient Sample (NIS) and the Nationwide Ambulatory Surgery Sample (NASS) were used to identify all elective orthopaedic and musculoskeletal (MSK) surgery performed in the inpatient setting and in hospital owned outpatient surgery departments throughout the USA. Total cost, reimbursement, and net income were estimated for all elective orthopaedic surgery and were compared with elective operations from other specialties. Results Elective MSK surgery accounted for $65.6–$71.1 billion in reimbursement and $15.6–$21.1 billion in net income per year to the US hospital system, equivalent to $5.5–$5.9 billion in reimbursement and $1.3–$1.8 billion in net income per month. When compared with elective surgery from all other specialties, elective MSK surgery accounted for 39% of hospital reimbursement and 35% of hospital net income. Compared with all hospital encounters for all specialties, elective MSK surgery accounted for 13% of reimbursement and 23% of net income. Estimated hospital losses from cancellation of elective MSK surgery during 8 weeks of the COVID-19 pandemic were $10.9–$11.9 billion in reimbursement and $2.6–3.5 billion in net income. Conclusion Cancellation of elective MSK surgery for 8 weeks during the COVID-19 pandemic has substantial economic implications on the US hospital system. Keywords COVID-19 . Orthopaedic surgery . Elective surgery cancellation . Economic impact
Introduction To help limit viral exposure during the coronavirus disease 2019 (COVID-19) pandemic, the Centers for Medicare and Medicaid Services (CMS) recommended cancellation of elective surgery on March 13, 2020 [1]. New guidelines were released by the CMS on May 6, 2020, allowing for the gradual Level of Evidence: III * Matthew J. Best [email protected] 1
Department of Orthopaedic Surgery, Johns Hopkins Hospital, The Johns Hopkins University School of Medicine, 601 N Caroline St, 5th Floor, Baltimore, MD, USA
2
Department of Health Policy and Management, Johns Hopkins Bloomberg School of Public Health, Baltimore, MD, USA
resumption of elective procedures based on hospital discretion [2]. This nearly eight week period with limited elective surgery volume has substantial financial implications which have caused reductions in hospital revenue and net income [3, 4]. To help offset these losses, Congress allocated $175 billion in funding to provide financial relief to the
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