Key Takeaways
- In 2021, 1.71 million Medicare beneficiaries received hospice services.
- 47.9% of hospice patients in 2021 were female.
- The average age of hospice patients in 2021 was 82 years.
- In 2022, Medicare hospice beneficiaries numbered 1.82 million.
- 32.5% of Medicare decedents used hospice in 2022.
- Average lifetime hospice days in 2022 was 92.
- 90% of hospice patients and families satisfied with care.
- 80% of patients report pain well-controlled in hospice.
- Hospice patients have 65% lower hospitalization rates.
- In 2022, Medicare hospice expenditures totaled $23.52 billion.
- Average daily routine home care payment $208 in 2023.
- Continuous home care rate $64.44/hour in 2023.
- Hospice enrollment grew 3.2% in 2022.
- Number of hospices increased to 7,509 in 2022.
- For-profit ownership rose to 72% in 2022.
Hospice care is increasingly common and now serves over one point seven million older Medicare beneficiaries annually.
Care Quality and Outcomes
- 90% of hospice patients and families satisfied with care.
- 80% of patients report pain well-controlled in hospice.
- Hospice patients have 65% lower hospitalization rates.
- 70% reduction in ICU use among hospice users.
- CAHPS Hospice survey shows 84% recommend hospice.
- 92% of families rate hospice communication as excellent.
- Hospice extends life by average 29 days for dementia patients.
- 75% fewer aggressive treatments in last week of life.
- Patient satisfaction score averages 4.2/5 in surveys.
- 85% report emotional/spiritual needs met.
- Lower depression rates in hospice vs. usual care.
- 96% family satisfaction with pain management.
- Hospice reduces Medicare spending by $2,309 per patient.
- 82% of patients achieve symptom relief goals.
- Bereavement support reaches 20-30% of families.
- 88% rate dignity preserved highly in hospice.
- Lower rates of feeding tubes in hospice (4% vs 15%).
- 91% families feel prepared for death.
- Hospice improves quality of death score by 20%.
- 78% fewer burdensome transitions in last 3 days.
- 95% satisfaction with nursing care.
- Symptom burden reduced by 50% in first week.
- 87% report good emotional support.
- Lower anxiety scores in hospice patients.
- 93% families would choose hospice again.
- Medicare Hospice Star Ratings average 3.8/5.
Care Quality and Outcomes Interpretation
Financial and Cost Statistics
- In 2022, Medicare hospice expenditures totaled $23.52 billion.
- Average daily routine home care payment $208 in 2023.
- Continuous home care rate $64.44/hour in 2023.
- Inpatient respite care $510.16/day in 2023.
- General inpatient care $1,076.20/day in 2023.
- Hospice cap exceeded by 17% of providers in 2022.
- Aggregate cap $31,050 per beneficiary in 2022.
- Medicare paid $22.4 billion for hospice in 2021.
- Average LOS impacts costs, 92 days average $17k total.
- For-profit hospices 71% of market, higher LOS.
- Nonprofit hospices average LOS 69 days vs 100+ for-profit.
- Hospice margins averaged 8.5% in 2021.
- Sequestration reduced payments by 2% in 2022.
- Service intensity add-on (SIA) payments up 30% since 2016.
- SIA payments totaled $2.5 billion in 2021.
- Hospice revenue per patient day $250 average.
- Labor costs 60% of hospice expenses.
- Medicare Advantage hospice carve-out saves $1k per patient.
- 2022 hospice payments grew 12.4% YoY.
- Cap overpayments recouped $600 million in 2022.
- Average nonprofit margin 2% vs 10% for-profit.
- Hospice wage index adjustment 68% of rates.
- 2021 total hospice spending $22.6 billion.
- Per-beneficiary spending $13,500 in 2021.
Financial and Cost Statistics Interpretation
Hospice Utilization
- In 2022, Medicare hospice beneficiaries numbered 1.82 million.
- 32.5% of Medicare decedents used hospice in 2022.
- Average lifetime hospice days in 2022 was 92.
- Median length of stay was 18 days in 2022.
- 52.4% of patients died in their home in 2022.
- 25.9% died in nursing homes in 2022.
- Hospice inpatient facilities hosted 8.7% of deaths in 2022.
- 51.1% of 2022 care was routine home care.
- Continuous home care was 0.4% of total days in 2022.
- Inpatient respite care was 0.2% of days in 2022.
- General inpatient care 3.2% of days in 2022.
- 7,509 Medicare-certified hospices operated in 2022.
- Hospice use increased 5% from 2021 to 2022.
- 91.2% of patients received hospice at home or community.
- In 2019, 1.36 million beneficiaries enrolled.
- Average LOS 77 days in 2019 Medicare data.
- Median LOS 18 days in 2019.
- 46.8% home deaths in 2019.
- Nursing home deaths 29.9% in 2019.
- Hospice use rate 50.7% of decedents in 2019.
- Routine home care 49.3% of days in 2021.
- In 2020, 51.2% home deaths.
- 6,140 hospices certified in 2020.
- Average LOS 94 days in 2020.
- Median LOS 17.5 days in 2020.
Hospice Utilization Interpretation
Industry Trends and Growth
- Hospice enrollment grew 3.2% in 2022.
- Number of hospices increased to 7,509 in 2022.
- For-profit ownership rose to 72% in 2022.
- Average LOS increased to 92 days in 2022.
- Hospice penetration among decedents 32.5% in 2022.
- Live discharge rate 19.2% in 2022.
- Hospice mergers/acquisitions up 15% in 2022.
- Rural hospice closures down 5% since 2019.
- Telehealth use in hospice up 200% post-COVID.
- Palliative care integration growing 10% annually.
- Hospice workforce shortage 10-15% in nurses.
- Medicare Advantage hospice enrollment up 20%.
- Regulatory audits increased 25% in 2022.
- Hospice special focus program for poor performers launched.
- Utilization grew 50% since 2000.
- For-profit share from 30% in 2000 to 72% now.
- LOS doubled from 54 days in 2000 to 92.
- 6,000+ hospices in 2020, up from 2,300 in 2000.
- Live discharges rose to 18% in recent years.
- Hospice use projected to reach 40% decedents by 2030.
- Post-COVID enrollment surged 8% in 2021.
- Nonprofit hospices declining to 18% market share.
- Value-based hospice models piloted in 2023.
- Hospice expenditure growth 10% annually projected.
- Hospice beneficiaries to double by 2040.
Industry Trends and Growth Interpretation
Patient Demographics
- In 2021, 1.71 million Medicare beneficiaries received hospice services.
- 47.9% of hospice patients in 2021 were female.
- The average age of hospice patients in 2021 was 82 years.
- 35.2% of 2021 hospice patients had cancer as primary diagnosis.
- Non-cancer diagnoses accounted for 64.8% of hospice patients in 2021.
- 86.3% of hospice patients in 2021 were age 65 or older.
- Dementia was the primary diagnosis for 20.5% of patients in 2021.
- Heart disease was primary for 11.4% of hospice patients in 2021.
- 48.1% of 2021 patients were White, 31.4% Black or African American.
- Hispanic patients made up 6.6% of hospice enrollment in 2021.
- Asian patients comprised 2.2% of 2021 hospice patients.
- 1.2% of hospice patients were American Indian/Alaska Native in 2021.
- Medicare fee-for-service covered 78.9% of hospice patients in 2021.
- Medicaid covered 8.3% of hospice patients in 2021.
- Private insurance covered 4.2% in 2021.
- 85.5% of 2021 decedents used hospice.
- In 2020, 1.55 million patients received hospice care.
- 36.3% of 2020 patients had cancer diagnosis.
- Median age of patients in 2020 was 83 years.
- 49% female patients in 2020 hospice data.
- 84.7% of patients aged 65+ in 2020.
- Stroke diagnosis in 5.1% of 2020 patients.
- 50.6% White patients in 2020.
- 29.7% Black patients in 2020 hospice.
- 6.8% Hispanic in 2020.
- In 2019, 1.43 million hospice patients.
- Cancer primary in 37.1% of 2019 cases.
- Average patient age 82 in 2019.
- 48.3% female in 2019.
- 83.9% aged 65+ in 2019.
Patient Demographics Interpretation
Sources & References
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