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CCH® BENEFITS — 8/15/08

Surgical Errors Cost Nearly $1.5 Billion Annually

From Spencer's Benefits Reports: Potentially preventable medical errors that occur during or after surgery might cost employers nearly $1.5 billion a year, according to new estimates by the Department of Health and Human Services’ (HHS) Agency for Healthcare Research and Quality (AHRQ).

In a study published in the July 28 issue of the journal Health Services Research, the AHRQ found that insurers paid an additional $28,218 (52% more) for surgery patients who experienced acute respiratory failure, and an additional $19,480 (48% more) for post-operative infections, compared with patients who did not experience either error.

AHRQ also found that additional costs were incurred for surgery patients who experienced the following medical errors:

• Inappropriate nursing care leading to new injuries, including pressure ulcers and hip fractures—$12,196 (33% more).
• Metabolic problems associated with medical errors, including kidney failure or uncontrolled blood sugar—$11,797 (32% more).
• Blood clots or other vascular or pulmonary problems associated with medical errors—$7,838 (25% more).
• Wound opening associated with medical errors—$1,426 (6% more).

“Like the physical and emotional harm caused by medical errors, the financial consequences don’t stop at the hospital door,” said AHRQ director Carolyn M. Clancy, “Eliminating medical errors and their after effects must continue to be top priority for our health care system.”

The study also found that one out of every ten patients who died within 90 days of surgery did so because of a preventable error and that one-third of the deaths occurred after the initial hospital discharge. The study concludes that focusing only on medical errors made during the intial hospital stay might underestimate the financial impact of patient safety events by up to 30%.

The study was based on a nationwide sample of more than 161,000 patients age 18 to 64 covered by employer-sponsored health plans who underwent surgery between 2001 and 2002. It used the AHRQ’s Patient Safety Indicators to identify medical errors. For more information, see the “Impact of Medical Errors on 90-Day Costs and Outcomes: An Examination of Surgical Patients,” in the July 2008 issue of Health Services Research.

For more information on this and related topics, consult the CCH Pension Plan Guide, CCH Employee Benefits Management, and Spencer's Benefits Reports.

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