Tuesday, February 28, 2012

A Shift From Nursing Homes to Managed Care at Home

Last week, Joseph Berger, reporting for the New York Times, discussed how providers are moving from the traditional nursing home model of care to managed care at home. This new model of care has not only been proven cost effective, but also allows for able-bodied elderly individuals to live independently. Mr. Berger's article highlights the Program of All-Inclusive Care for the Elderly(PACE), which provides almost all the services a nursing home would but in an 'day care' setting. This program, in addition to similar home health services, receives bundled payments for each patient they treat rather than relying on the traditional fee-for-service reimbursement model. PACE and similar home-care programs are being heralded as the future model of health care for the aging baby boomer generation.

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