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Health Services > Collaboration with the Health Care Agency, Emilia-Romagna Region, Italy > Risk Adjustment and Population Based Financing of Health Care

Risk Adjustment and Population Based Financing of Health Care

For further information contact: Elaine.Yuen@jefferson.edu

Italian law mandates that healthcare funds should be directed at the local level and allocated according to the National Health Service (NHS) values of equity and solidarity. Consistent with these values, Center researchers have designed an approach to developing budgets for health districts in the Regione Emilia-Romagna that captures the healthcare needs of the local population to enable a fair allocation of budgets across districts. The first round of risk adjusters predicts future hospital and pharmacy costs for each individual based on clinical information from inpatient and outpatient hospital episodes, prescription drug files, and demographic data. The risk adjuster assigns individuals into clinical groupings designed by Center researchers to predict high resource use: Disease Staging Groups, Chronic Condition Drug Groups, and Body System-Etiology Groups. A dditional work will include (1) refining the risk adjuster to capture clinical information from ambulatory data, specialty data, and clinical data from several prior years; and (2) developing risk adjusters for other healthcare costs, including ambulatory, specialty, and home care.

  • Yuen EJ, Louis DZ, DiLoreto P, Gonnella JS. Modeling risk-adjusted capitation rates for regione Umbria (Italy). European Journal of Health Economics, 4 (4)! 304-312, December 2003.
  • Smith KD, Yuen EJ, Donatini A, Louis DZ, Rabinowitz C, Maio V, Jimbo M, Taroni F. Risk Adjustment in a Non-Market-Based-System: The Case of Emilia Romagna, Italy. International Journal of Healthcare Technology and Management, 7 (1-2):100-116, 2005.