DOI QR코드

DOI QR Code

Participation Determinants in the DRG Payment System of Obstetrics and Gynecology Clinics in South Korea

  • Song, Jung-Kook (Graduate School of Public Health, Seoul National University) ;
  • Kim, Chang-Yup (Graduate School of Public Health, Seoul National University)
  • Received : 2009.09.14
  • Accepted : 2009.11.06
  • Published : 2010.03.31

Abstract

Objectives: The Diagnosis Related Group (DRG) payment system, which has been mplemented in Korea since 1997, is based on voluntary participation. Hence, the positive impact of this system depends on the participation of physicians. This study examined the factors determining participation of Korean obstetrics & gynecology (OBGYN) clinics in the DRG-based payment system. Methods: The demographic information, practice-related variables of OBGYN clinics and participation information in the DRG-based payment system were acquired from the nationwide data from 2002 to 2007 produced by the National Health Insurance Corporation and the Health Insurance Review & Assessment Service. The subjects were 336 OBGYN clinics consisting of 43 DRG clinics that had maintained their participation in 2003-2007 and 293 no-DRG (fee-for-service) clinics that had never been a DRG clinic during the same period. Logistic regression analysis was carried out to determine the factors associated with the participation of OBGYN clinics in the DRG-based payment system. Results: The factors affecting participation of OBGYN clinics in the DRG-based payment system were as follows (p<0.05): (1) a larger number of caesarian section (c/sec) claims, (2) higher cost of a c/sec, (3) less variation in the price of a c/sec, (4) fewer days of admission for a c/sec, and (5) younger pregnant women undergoing a c/sec. Conclusions: These results suggest that OBGYN clinics with an economic practice pattern under a fee-for-service system are more likely to participate in the DRG-based payment system. Therefore, to ensure adequate participation of physicians, a payment system with a stronger financial incentive might be more suitable in Korea.

Keywords

References

  1. Wennberg JE, Barnes BA, Zubkoff M. Professional uncertainty and the problem of supplier-induced demand. Soc Sci Med 1982; 16(7): 811-824. https://doi.org/10.1016/0277-9536(82)90234-9
  2. Wennberg JE, McPherson K, Caper P. Will payment based on diagnosis-related groups control hospital costs? N Engl J Med 1984; 311(5): 295-330. https://doi.org/10.1056/NEJM198408023110505
  3. Iversen T, Luras H. The effect of capitation on GPs' referral decisions. Health Econ 2000; 9(3): 199-210. https://doi.org/10.1002/(SICI)1099-1050(200004)9:3<199::AID-HEC514>3.0.CO;2-2
  4. Ellis RP. McGuire TG. Optimal payment systems for health services. J Health Econ 1990; 9(4): 375-396. https://doi.org/10.1016/0167-6296(90)90001-J
  5. Huh SI, Whang DK, Jeong SH, Lee SK. Empirical Analyses of Supplier-Induced Demand from a Single-Payer System. Seoul: Korea Institute for Health and Social Affairs. 2008. (Korean)
  6. Kwon S. Payment system reform for health care providers in Korea. Health Policy Plan 2003; 18(1): 84-93 https://doi.org/10.1093/heapol/18.1.84
  7. Kim CY, Lee YS, Yoon SJ, Lee WY, Im JS, Kwon YH et al. Evaluation and Improvement Proposal on the Pilot Implementation of DRG-Based Payment System. Seoul: Department of Health Policy & Management, Seoul National University College of Medicine. 2000. (Korean)
  8. Kang GW, Lee JS, Kim Y, Ahn TS, Jung HR, Moon SJ et al. Ways for the Improvement of DRG-Based Prospective Payment System. Seoul: Health Insurance Review and Assessment Service, Chungbuk National University Industry Academic Cooperation Foundation, SNU R&D Foundation; 2009. (Korean)
  9. Sloan FA, Steinwald B. Physician participation in health insurance plans: Evidence on Blue Shield. J Hum Resour 1978; 13(2): 237-263. https://doi.org/10.2307/145360
  10. Sloan FA, Mitchell J, Cromwell J. Physician participation in state Medicaid programs. J Hum Resour 1978; 13(Suppl): 211-245. https://doi.org/10.2307/145253
  11. Silverstein G, Kirkman-Liff B. Physician participation in medicaid managed care. Soc Sci Med 1995; 41(3): 355-363. https://doi.org/10.1016/0277-9536(94)00326-O
  12. Steinwald B, Dummit LA. Hospital case-mix change: Sicker patients or DRGs creep? Health Aff 1989; 8(2): 35-47. https://doi.org/10.1377/hlthaff.8.2.35
  13. National Health Insurance Corporation, Health Insurance Review and Assessment Service. 2007 National Health Insurance Statistical Yearbook. Seoul: National Health Insurance Corporation; 2007. (Korean)
  14. Thornton J, Eakin BK. The utility-maximizing selfemployed physician. J Hum Resour 1997; 32(1): 98-128. https://doi.org/10.2307/146242
  15. Campbell DM. Why do physicians in neonatal care units differ in their admission thresholds? Soc Sci Med 1984; 18(5): 365-374. https://doi.org/10.1016/0277-9536(84)90054-6
  16. Eisenberg JM, Nicklin D. Use of diagnostic services by physicians in community practice. Med Care 1981; 19(3): 297-309. https://doi.org/10.1097/00005650-198103000-00005
  17. Park WS, Kim HJ, Sohn MS, Park EC. Analysis of influencing factors on self-employed physician's income. Korean J Prev Med 1998; 31(4): 770-785. (Korean)
  18. Jeong EK, Moon OR, Kim CY. A study on the practice variations according to physician characteristics. Korean J Prev Med 1993; 26(4): 614-626. (Korean)
  19. Lee AK, Jeong HJ. Distributional changes in physicians' medical care expenses from the National Health Insurance and its determinants after the separation of prescription and dispensing. Korean J Health Policy Adm 2004; 14(3): 20- 44. (Korean) https://doi.org/10.4332/KJHPA.2004.14.3.020
  20. Wildavsky A. Choosing preferences by constructing institutions: A cultural theory of preference formation. Am Polit Sci Rev 1987; 81(1): 3-22. https://doi.org/10.2307/1960776
  21. Chun KH, Song MS. Studies on the variations of hospital use and the changes in hospital revenues of 10 KDRGs under the PPS. Korean J Health Policy Adm 1997; 7(1): 100-124. (Korean)
  22. Fretts RC, Schmittdiel J, McLean FH, Usher RH, Goldman MB. Increased maternal age and the risk of fetal death. N Engl J Med 1995; 333(15): 953-957. https://doi.org/10.1056/NEJM199510123331501
  23. Ko Y. The effect of DRG-PPS(DRG-Prospective Payment System) on provider's service uses according to the participation periods. [dissertation]. Seoul: Seoul National University: 2003. (Korean)
  24. Yim J. Changes in quality of care for caesarean section after implementation of the DRG-based payment system. [dissertation]. Seoul: Seoul National University. 2001. (Korean)
  25. Kim CY, Lee YS, Yoon SJ, Lee WY, Im JS, Kwon YH et al. Evaluation and Improvement Proposal on the Pilot implementation of DRG-Based Payment System. Seoul: Department of Health Policy & Management, Seoul National University College of Medicine. 2000. (Korean)
  26. Lim JY. The effect of doctor's payment method on practice behavior. Korean J Health Policy Adm 2004; 14(4): 48-74. (Korean) https://doi.org/10.4332/KJHPA.2004.14.4.048
  27. Eisenberg JM. Physician utilization the state of research about physicians' practice patterns. Med Care 2002; 40(11): 1016-1035. https://doi.org/10.1097/00005650-200211000-00004

Cited by

  1. 포괄수가제도 당연적용 효과평가 vol.26, pp.2, 2010, https://doi.org/10.4332/kjhpa.2016.26.2.135
  2. Impact of payment system change from per-case to per-diem on high severity patient's length of stay vol.95, pp.37, 2010, https://doi.org/10.1097/md.0000000000004839
  3. Polypharmacy, hospitalization, and mortality risk: a nationwide cohort study vol.10, pp.1, 2010, https://doi.org/10.1038/s41598-020-75888-8