Metrics Matter: Utilization of Medicare Home Health Services by African Americans
As you look for opportunities to grow your business, have you considered the home health needs specific to ethnic populations in your local market? In this month’s Metrics Matter, we look at the utilization of Medicare home health services by African Americans.
This metric measures the usage of home health services by African Americans relative to other racial groups. By taking the percentage of African Americans discharged in a specific geography and dividing it by the total percentage of African Americans in the same geography, an index is created. In this case, we used state data; however, this metric can be calculated on a local basis, as well.
The following formula illustrates how to determine the home health penetration index for an ethnic population in a specific geography:
By analyzing 2007 Medicare claims data and Census Bureau data on a state-by-state basis, we can conclude the following:
- From a national perspective, the Home Health Penetration index of African Americans was 101.1% in 2007. Ideally, the percentage of African Americans receiving home health should be the same as their percentage in the overall population. This would generate an index of 100%. In this case, African Americans receive slightly more home health services than the proportion of the population; however, the difference is not enough to be significant in assessing overall penetration.
- In looking at the states on a quartile basis, there is significant disparity, with three out of the four quartiles having African-American home health penetration less than 100%.
- There is significant variation in this metric among the individual states, with the home health penetration index of African Americans in South Dakota at only 18.6% and in Michigan at 187.6%. We conclude, therefore, that similar or greater variances can be expected at the local level.
By using this metric, you can determine whether opportunity exists in the African-American population in your service area. Once you’ve identified that there is an opportunity in a certain ethnic population, how can you better penetrate this market? In African-American populations, for example, studies have shown chronic conditions such as diabetes and heart disease are highly prevalent. Working with local community centers and churches to offer free diabetes and blood pressure screenings is one way to help increase awareness of your home health services among African Americans in your market.
Click here or call 215-657-7373 to learn more about this metric and how Healthcare Market Resources’ data can help you extend your agency’s community reach and build your business.
