Standard for informed financial consent

Similar documents
BUNDLED PAYMENTS IN RADIATION ONCOLOGY

FEDERAL BUDGET

Controlling Hospital Charges for Self-funded Plans

Presentation to UBS Australasia Conference November Attached presentation delivered by nib at the UBS Australasia Conference (8 November 2016).

REPORT OF THE COUNCIL ON MEDICAL SERVICE. The Role of Cash Payments in All Physician Practices (Resolution 703, A-07 and Resolution 728, A-07)

Re: Options to reduce pressure on private health insurance premiums by addressing the growth of private patients in public hospitals

Co-pay Accumulator Adjustment Programs

2015 Nursing Conference College of Nursing, Hong Kong

Patient Perspective on Prior Authorization and the Triple Aim. Alan Balch, PhD ACC Heart House Roundtable October 11, 2017

Pfizer 2015 Disclosure Code Transparency Report

Pfizer 2016 Disclosure Code Transparency Report

Going to hospital. What you need to know

PHI Reforms The Challenges Ahead

H 7829 S T A T E O F R H O D E I S L A N D

Patient Financial Assistance Guide

Medivac Care - Schedule of Benefits and Limits

Initial Functional Medicine (FM) Consult $475 FM follow up visits $175 Convenient Care Visit $125. Action Plan/Health Care Consult Visit $50

Any healthcare professional and healthcare organization whose primary practice, principal professional address or place of incorporation

Healthcare Cost Increases: Can They Be Managed Effectively?

Any healthcare professional and healthcare organisation whose primary practice, principal professional address or place of incorporation

Payment Policy: Code Editing Overview Reference Number: CC.PP.011 Product Types: ALL Effective Date: 01/01/2013 Last Review Date: 06/28/2018

Cover Summary For Everyday - Comprehensive. Hospital cover. What does it mean? This cover is only available for singles and couples.

National Treasury. Financing NHI. Pharmaceutical Society SA 24 June 2018

Pfizer Hellas SA PRIMA/EFPIADisclosure Code Transparency Report

Overview of Reimbursement Strategies for Novel Medical Technologies

Introduction to the US Health Care System. What the Business Development Professional Should Know

Medicare Program; Medicare Shared Savings Program: Accountable Care Organizations Proposed Rule

ACTION ITEM 4B. Fiscal and Policy Options for the Every Woman Counts Program

Primary care reforms, DRGs and move to single payor

HEALTH CARE CHAPTER 22. Tuesday, September 27, 11

Safety Net Grant Program

BUPA MEDICAL GAP SCHEME

2019 MEDICAL PLAN SUMMARY Arlington County Government/AmWINS Medicare Plan

Re: Modernizing Part D and Medicare Advantage to Lower Drug Prices and Reduce Out-of- Pocket Expenses [CMS-4180-P]

Medical Coverage for Medicare- Eligible Participants

POSITIVE PHYSICIANS INSURANCE EXCHANGE 850 CASSATT ROAD 100 BERWYN PARK SUITE 220 BERWYN, PA Phone: Fax:

DRAFT NCOIL OUT-OF-NETWORK BALANCE BILLING TRANSPARENCY MODEL ACT

RE: Comment on CMS-9937-P ( Patient Protection and Affordable Care Act; HHS Notice of Benefit and Payment Parameters for 2017: Proposed Rule )

GOVERNMENTAL AFFAIRS AND LEGAL MATTERS (A)

hfma September 21, 2018

FINANCES FINANCES. In this section, you will learn about:

Reporting of Transfers of Value to HCPs and HCOs Methodological Note for Reporting of 2017 Data in 2018

Highlights of the Group Medicare Prescription Drug Plan. Administrative Services from Group Administrative Concepts

Harvard Pilgrim s Stride (HMO) Medicare Advantage Plan

A leading provider of post acute services

Individual Insurance

Important Questions Answers Why this Matters:

Basics of Health Insurance. Copyright 2011, 2007, 2003, 1999 by Saunders, an imprint of Elsevier Inc. All rights reserved.

No change from proposed rule. healthcare providers and suppliers of services (e.g.,

SUMMARY OF MARYLAND STATE EMPLOYEES & RETIREES MENTAL HEALTH AND SUBSTANCE ABUSE PLAN

Healthcare Financial Management Association Certification Program. Module I: The Business of Health Care Learner s Guide

Annual Notice of Changes for 2019

Payment Policy:Modifier to Procedure Code Validation: Payment Modifiers Reference Number: CC.PP.028

The Value of Health Plan Networks

The Future Of Medicare Physician Reimbursement

As more employers self-fund their employee healthcare coverage, exploration of risk. Controlling Hospital Charges for Self-Funded Plans

CHAPTER 32. AN ACT concerning health insurance and health care providers and supplementing various parts of the statutory law.

Medicare Program; Advancing Care Coordination Through Episode Payment. Models (EPMs); Cardiac Rehabilitation Incentive Payment Model; and Changes to

Private health insurance reforms: Gold/Silver/Bronze/Basic product categories

REPORT 4 OF THE COUNCIL ON MEDICAL SERVICE (I-14) Network Adequacy (Resolutions 113-A-14, 125-A-14 and 130-A-14) (Reference Committee J)

Annual Notice of Changes for 2019

Aon s Student Accident Protection Plan School student accident claim form

Annual Notice of Changes for 2018

Glossary of Health Coverage and Medical Terms x

Critical illness insurance

Some of the services this plan doesn t cover are listed on page 5. See your policy Yes plan doesn t cover?

Legal Implications of Concierge Medical Practice for Health Plan Providers and Enrollees

Annual Notice of Changes for 2017

What to Know About Your Health Plan

Employee Benefit Plan: Missoula County Public Schools Coverage Period: 01/01/ /31/2014 Summary of Benefits and Coverage:

CUSTOMER WAIVER OF CO-PAYS AND DEDUCTIBLES

SPORT / VOLUNTARY WORKERS INSURANCE CLAIM FORM

Financial Toxicity of Cancer Challenges and Opportunities

A, B, C, Ds of Medicare

Statement for the Record American College of Physicians Hearing before the Energy and Commerce Health Subcommittee

Reimbursement for Advanced Diagnostics: Challenges and Opportunities

Annual Notice of Changes for 2019

The Challenge of Implementing Interoperable Electronic Medical Records

Private Patients Policy

Health Systems in Developing Countries IAA Health Section Colloquium. Lisa Beichl International Health Consultant

Methodology to assess the cost impact of PMB benefit definitions

Annual Notice of Changes

FOR PHYSICIANS. CMS will collect the data annually, aggregate it, and publish it on a public website.

(Applies to IP, Emergency when the deductible starts over (usually, but not always, January 1st). See the deductible?

A VOLUNTARY CODE OF PRACTICE FOR HOSPITAL PURCHASER/PROVIDER AGREEMENT NEGOTIATIONS BETWEEN PRIVATE HOSPITALS AND PRIVATE HEALTH INSURERS

DOCUMENT HISTORY. Supersedes / Replaces. Version Effective Date Summary of Changes 01 30JUN2016 New Methodological Note

Important Questions Answers Why this Matters:

Medical Policy Guidelines and Procedures

Annual Notice of Changes for 2017

SUMMARY OF MARYLAND STATE EMPLOYEES & RETIREES BEHAVIORAL HEALTH PLAN

PRICE TRANSPARENCY Frequently Asked Questions

Important Questions Answers Why this Matters: What is the overall deductible? Are there other deductibles for specific services?

A leading provider of post acute services

The Dialogue Podcast Transcript Private Health Insurance

Annual Notice of Changes for 2018

Re: Medicare Prescription Drug Benefit Manual Draft Chapter 5

UnitedHealthcare Choice Plus. United HealthCare Insurance Company. Certificate of Coverage

Managing Specialty Pharmaceuticals: Balancing Access and Affordability

Patient Guide to Billing and Insurance

Annual Notice of Changes for 2017

Transcription:

Standard for informed financial consent Developed between Cancer Council, Breast Cancer Network Australia, CanTeen and Prostate Cancer Foundation of Australia Contents Executive summary... 2 Explanation... 2 Why Australia needs a standard for informed financial consent... 3 Framing the standard... 4 Contact Kate Whittaker, Cancer Council Australia kate.whittaker@cancer.org.au Website: www.cancer.org.au/financialconsent Informed Financial Consent 14/11/2018 Page 1 of 6

Executive summary The purpose of the standard for informed financial consent ( the standard') is to guide doctors and health service providers to deliver quality care by providing information about all treatment options and their financial implications, both direct and indirect, and ensuring that service charges are understood by the patient prior to undergoing treatment. This is a voluntary standard but it is hoped that it will be widely adopted by doctors and practices. The standard outlines the required elements to support informed financial consent. It will reduce the burden of hidden expenses and avoidable high costs for equivalent procedures conducted in the public system or lower-cost setting. It aims to reduce variation in the out-ofpocket expenditure of patients for like treatments and financial hardship attributable to a cancer diagnosis. Revisions to the current policies set by the Australian Medical Association (AMA) and medical colleges, would better support doctors to have primary responsibility for facilitating informed financial consent with their patients. The standard guides doctors to be transparent about the fees they charge, open to having conversations about costs with patients and support patients to obtain cost information from additional service providers involved in their care. Doctors can be assisted by practice staff, but where the provision of information has been delegated, the doctor retains ultimate responsibility. This standard focuses on facilitating informed financial consent by doctors in oncology diagnostic and treatment services offered to people with cancer, however it has broader application and can be adopted by other professionals and services. Explanation The Commonwealth Department of Health defines informed financial consent as the provision of cost information to patients, including notification of likely out-of-pocket expenses (gaps), by all relevant service providers, preferably in writing, prior to admission to hospital or treatment 1. It is an ongoing process and is revisited over time as treatment plans change, ensuring that the patient continues to understand their options and is empowered to make decisions about their care. The American Society of Clinical Oncology s Guidance Statement on the Cost of Cancer Care recommends that patient-physician discussions regarding the cost of care are an important component of high-quality care 2. The standard reflects this component of high-quality care. Doctors have a legal duty to warn patients of material risks inherent in a proposed treatment, including cost. This requires only the provision of significant and relevant information; however, there is an ethical and moral responsibility to disclose all the necessary information to support patient informed financial consent prior to treatment. Financial disclosure is defined in the Australian health context as not only how much a procedure will cost but, crucially, whether there are alternatives that offer similar benefits at 1 DoH. Out-of-pocket expenses for private medical treatment (Informed Financial Consent). 8 March 2017. Comm. of Australia. 2 Meropol, N.J. et. al. American Society of Clinical Oncology Guidance Statement: The Cost of Cancer Care. 10 August 2009. JCO, vol. 27 (23) p. 3868-74. Informed Financial Consent 14/11/2018 Page 2 of 6

less or no cost to the patient 3. The omission of cost information reduces informed financial choice and increases the potential for significant financial and health disadvantage. Refer to actions under Doctor patient communication within the standard for guidance on the elements to include in this conversation. In Australia doctors set their own service fee. Private providers often charge a higher fee than that charged to private patients in the public sector. Private providers set their fees to not only cover the doctor s service, but additionally to fund services within their practice that support the practice to deliver comprehensive care but do not attract Government funding. This includes practice facilities and staff, and members of the clinical support team, such as specialist nurse consultants. This can represent a reasonable charge above the doctor s service. Private health insurance may cover additional expenses after the Medicare reimbursement however, these are individual arrangements such as through Gap Insurance Cover. Provider decisions made at the commencement of treatment can be difficult to change later. For patients who begin their journey in the private system, the ability to meet ongoing out-ofpocket costs can become problematic. Patients considering or receiving care in the private system must be advised that some aspects of treatment may not be covered by their health insurance and that they can switch to public care at any point. A higher provider fee is not an indicator of increased clinical benefit. There is no standard system to capture and report outcome performance in Australia. Therefore, the ability to benchmark and compare services, and measure improved performance over time, is limited. This restricts the patient s ability to assess quality outcomes when considering their care options. Other indicators of quality, including participation in multidisciplinary teams and College activities could be communicated to patients. Shadow billing is the practice of separate invoicing for expenses that are not part of the bills submitted via Medicare or the patient s insurer. These fees may be termed a booking or administrative fee by the provider but are excluded from public records of fees paid, which then do not reflect the true cost paid for a service. For this standard, an excessive fee is defined as a service cost above the fees published by the AMA on the List of Medical Services and Fees 4. While Medicare scheduled fees have remained unchanged in recent years, the AMA produces a yearly list of services and the associated fee that it considers a fair charge for providing the service in Australia. The standard requires the individual doctor, health service and broader health system to facilitate the principles within the standard. Why Australia needs a standard for informed financial consent Australia has a mixed healthcare system financed by public and private insurance, and direct contribution from patients for services not covered by insurance. Cancer is often a complex and long-term condition. Treatment may require different doctors from various settings including, hospital, out-patient, community care, and can be delivered 3 Currow, D & Aranda, S. Financial toxicity in clinical care today: a menu without prices. 20 June 2016. MJA, vol. 204 (11). 4 Australian Medical Association. List of Medical Services and Fees. Accessed on 29 May 2018. Informed Financial Consent 14/11/2018 Page 3 of 6

across both public and private sectors. These multiple service interactions can create fragmentation in the continuity of care, leading to confusion about who pays for which service, resulting in unexpected out-of-pocket costs. Services are increasingly offered in the private sector and patients may have a perception that all services and charges will be covered by their private health insurance. Patients with private health insurance and patients with a recent cancer diagnosis report significantly higher out-of-pocket costs. Patients commonly cite travel costs, loss of income and direct costs of treatment as highest sources of out-of-pocket expense that influence their treatment decisions, leading to unsafe or sub-optimal decisions. Temporary and permanent changes to employment add to the experience of out-of-pocket expenses and if left unaddressed, can lead to financial hardship. People affected by cancer borrow money, access superannuation early, sell investments, re-mortgage assets, increase to their partners working hours, or increase a credit card limit to meet treatment costs or everyday living expenses. Although the benefits and harms associated with treatment options are discussed with patients, some patients continue to experience unexpected costs after treatment. High outof-pocket costs and prevalence of hidden expenses indicate that greater upfront transparency of fees and costs associated with treatment options is required. Framing the standard It is critical that doctors drive transparency and communication about service charges and cost with patients to encourage and enable patient participation in an informed discussion about their care options. The audiences for this document are individual doctors and practices, and the is AMA and medical colleges. We seek the support of these stakeholders in promoting the standard and encouraging its adoption. Patients continue to be at the forefront of its development, and supplementary materials will be tailored to specific audiences, including patients. This standard is one component of delivering quality care, to promote consistency in the provision of information, payment of gap fees and fulfilling the requirement of informed consent to treatment. These principles are not meant to be prohibitive or create additional burden on the provider however, they represent a standard of care to facilitate complete financial disclosure. Informed Financial Consent 14/11/2018 Page 4 of 6

Principle Action Level of responsibility Transparency of service details Referral to independent information Doctor patient communication Doctors participate in: Public disclosure of average fees charged for each of the most common services billed by individual doctors; Public disclosure of doctor s practice status (public or private or mixed); Develop a process for a fee estimate for any treatment that includes all costs associated with all doctors involved in the delivery of care; Develop a process to update patients about service fees if treatment plans change. As part of doctor - patient discussions about care options and cost, the doctor is required to inform the patient of available external resources related to financial costs, such as independent information on care pathways, health system costs and options, and other patient information resources that is appropriate to their needs, level of understanding and capacity to engage in their healthcare planning. The patient has the right to ask the doctor about their charges, and related services expenses, and to be provided with full disclosure of these expenses. The doctor must strongly advise patients to ask about costs, to be active and engaged in decisions about their treatment and care. The doctor has a responsibility, under the requirement to receive consent, to engage in and/or initiate a conversation about expected costs and ensure the patient has understood their options prior to treatment. This conversation must include the following elements: Individual doctor provides relevant information. Service level supports doctors to understand practice arrangements System level provides the platform on which to display the information. Individual doctor is responsible for making the patient aware and informing the patient. Service and system levels to support availability of resources Individual doctor level Informed Financial Consent 14/11/2018 Page 5 of 6

Transparency of benefit Commitment across practice and community A private doctor discloses where the equivalent procedure and care can be provided in the public system as a no or lower-cost service alternative; Disclosure of expected additional services associated with treatment such as diagnostic or anaesthetic services, hospital charges and medicines that will incur a fee to the patient; Discuss the impact of different treatment options on indirect aspects of cost, including potential time off work due to side effects or intense treatment regimens. Where feasible, discussion is held at a time, place, and in a manner that supports the patient s right to choose, providing them with sufficient time, information and support to do so. A doctor cannot charge a higher service fee based on a claim of better outcomes than another service unless they are able to defend this claim with published evidence available to the patient. A practice adopts a commitment to: Full financial disclosure No shadow billing, including booking fees Inform patients about the Medicare reimbursement, and disclose gap fees Working with other practitioners also committed to full financial disclosure No upward fee adjustment based on greater capacity to pay Individual doctor level Individual doctor and service levels Informed Financial Consent 14/11/2018 Page 6 of 6