Estimating Cost Savings of Care Coordination for Older Adults: Evidence from the Iowa Return to Community Program

Erblin Shehu; Brian Kaskie; Kent Ohms; Daniel Liebzeit; Sato Ashida; Harleah G Buck; Dan M Shane

doi:10.1089/pop.2024.0192

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Estimating Cost Savings of Care Coordination for Older Adults: Evidence from the Iowa Return to Community Program

Journal article

Peer reviewed

Estimating Cost Savings of Care Coordination for Older Adults: Evidence from the Iowa Return to Community Program

Erblin Shehu, Brian Kaskie, Kent Ohms, Daniel Liebzeit, Sato Ashida, Harleah G Buck and Dan M Shane

Population health management, Vol.28(1), pp.22-30

02/2025

DOI: 10.1089/pop.2024.0192

PMID: 39714322

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Abstract

In response to rising costs associated with providing health care services to Americans over 65 years old, policymakers have called for the expansion of care coordination programs to reduce total spending while improving patient outcomes and provider efficiency. This study uses a Markov Chain model to estimate financial impacts associated with the implementation of a care coordination program across the state of Iowa. Estimates revealed an association between the implementation of the Iowa Return to Community (IRTC) and a reduction in health care service use, which yielded per capita cost savings of $7,920.24 over a 5-year span. Subgroup analysis showed that inclusion of informal care partners enhances these savings, as they contributed to reduced inpatient hospital use and deferred nursing home admissions. The continued expansion of the IRTC appears as a viable strategy to curtail aggregate health care spending while supporting older adults stay at home.

independent living

care coordination

cost savings

hospitalizations

Markov Chain

informal care partners

Details

Title: Subtitle: Estimating Cost Savings of Care Coordination for Older Adults: Evidence from the Iowa Return to Community Program
Creators: Erblin Shehu - University of Iowa
Brian Kaskie - University of Iowa
Kent Ohms - Iowa Department of Public Health
Daniel Liebzeit - University of Iowa
Sato Ashida - University of Iowa
Harleah G Buck - University of Iowa
Dan M Shane - University of Iowa
Resource Type: Journal article
Publication Details: Population health management, Vol.28(1), pp.22-30
DOI: 10.1089/pop.2024.0192
PMID: 39714322
NLM abbreviation: Popul Health Manag
ISSN: 1942-7891
eISSN: 1942-7905
Publisher: MARY ANN LIEBERT, INC
Grant note: Iowa Health and Human Services Division on Aging and Disability Services: 2127 University of Iowa
This work was supported by the Iowa Health and Human Services Division on Aging and Disability Services under contract #2127 with the University of Iowa.
Language: English
Electronic publication date: 12/23/2024
Date published: 02/2025
Academic Unit: Health Management and Policy; Economics; Nursing; Injury Prevention Research Center; Community and Behavioral Health
Record Identifier: 9984759118902771

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