Economics Of End Stage Renal Disease

Economics Of End Stage Renal Disease

Introduction

End-stage renal disease (ESRD) is an incapacitating health circumstance of chronic kidney failure that needs demanding and expensive treatment through either transplantation or dialysis. The incidence and prevalence of End-stage renal disease has amplified in every high income countries for numerous reasons. Together with the factors such as the escalating diabetes rates, better endurance from heart disorders, and better acceptance to therapy of dialysis, the increase in ESRD is seen to continue (Stevens, 2004). Healthcare providers are struggling with allocation of fiscal resources within the End-stage renal disease programs while harmonizing the significant issues of cost control and attaining good quality outcomes.

Discussion

Frequently it has been argued peritoneal dialysis PD has more economic benefits over the conventional Hemo dialysis HD for individuals with End Stage Renal Disease. Even though to large extent this is very true and researches have shown that PD is the ideal way to reduce medical system expenditures on expensive treatment of individuals with End Stage Renal Disease. This will ease the fiscal burden on tax payers. However despite all the advantageous aspects the number of patients with PD treatment remains relatively constant.

Analyzing the Reimbursement Methods

PD seems to be less expensive the HD owing to the fact that Outpatient dialysis hemodialysis units are costly speculations with leasehold enhancements and equipments that are extremely expensive costing millions of dollars depending on the size of location (Shih, 1997). However to minimize the expenses on leverages the number of patients is constantly increasing to ensure the profitability. PD, on the other hand, is a flexible expenditure treatment without the operating cost required in convoluted outpatient units.

At present the system of reimbursement is based of service charges and additional charges for drugs and medical tests. However the new system would require ...