The Link Jun. 2014 | Page 8

Expert Insight Medical management How utilization management drives patients to the right kind of health care T he Institute of Medicine estimated 30 percent of health care spending in 2009 was wasted. Patients got duplicate services, unneeded services or services that haven’t proven to have medical value. Medical management can help. Utilization management enables health plan members and network providers to contact a benefits manager to determine whether services are medically necessary, says Dr. Robert Sorrenti, medical director at HealthLink. Years ago, physicians, hospitals and providers strongly opposed utilization management, feeling it intruded upon their ability to make decisions. Today, there is acceptance, along with strong interest from those paying for health plans. “I can’t say providers embrace it and love it, but people accept this as a tool to help manage some of the utilization,” says Sorrenti. Here are some utilization management services to manage unnecessary clinical procedures. What’s the benefit of utilization management services? Utilization management moves people to getting the right quality of care at the right time through evidence-based medicine. If you don’t medically need a service, you shouldn’t get it. CAT scans involve radiation, one MRI can lead to another and certain procedures with unproven outcomes can be deleterious. The bottom line is that managing expensive and sometimes unnecessary services results in less expensive health care for employers and health plan members. As plan sponsors, employers have a renewed interest in medical management, particularly those struggling to keep pace with health insurance cost increases. They are looking for ways to control that without shifting all cost back to their members. How does utilization management determine what is, or isn’t, medically necessary? Health benefits managers employ an extensive process to determine if a service is medically necessary. They utilize medical policy and clinical guidelines to determine the appropriate rationale for carrying out a procedure or service, or using a particular drug. Then they match each member’s situation with policies and guidelines to see if the service makes sense. 8 •The Link Is time a factor? No. Emergent procedures aren’t reviewed, and with elective procedures, there is time for due diligence. Accredited utilization managers have reasonable turnaround times — usually no more than three days — to get back to providers and members. What services are typically reviewed? In-patient days are reviewed to ensure patients are moved through the continuum of care. You don’t want them in the hospital for $5,000 per day, waiting for a bed in a skilled nursing facility, where the cost is $1,000 per day. Ot