Ambulatory Surgery Centers Reduce Patient Out-of-Pocket Expenditures (POPE) for Isolated Arthroscopic Rotator Cuff Repair, but POPE Are Increasing at a Faster Rate than Total Healthcare Utilization Reimbursement from Payers.

Purpose The purpose of this study is to categorize and trend annual out-of-pocket expenditures for arthroscopic RCR patients relative to total healthcare utilization (THU) reimbursement and compare drivers of patient out-of-pocket expenditures (POPE) in a granular fashion via analyses by insurance type and surgical setting. Methods Patients who underwent outpatient arthroscopic RCR in the U.S. from 2013 to 2018 were identified from the IBM MarketScan Database. Primary outcome variables were total POPE and THU reimbursement, which were calculated for all claims in the 9-month perioperative period. Trends in outcome variables over time and differences across insurance types were analyzed. Multivariable analysis was performed to investigate drivers of POPE. Results 52,330 arthroscopic RCR patients were identified. Between 2013 and 2018, median POPE increased by 47.5% ($917 to $1,353) and median THU increased by 9.3% ($11,964 to $13,076). Patients with high deductible insurance plans paid $1,910 toward their THU, 52.5% more than patients with preferred provider plans ($1,253, p=0.001) and 280.5% more than patients with managed care plans ($502, p=0.001). All components of POPE increased over the study period with the largest observed increase being POPE for the immediate procedure (p=0.001). On multivariable analysis, out-of-network facility, out-of-network surgeon, and high deductible insurance most significantly increased POPE. Conclusion POPE for arthroscopic RCR increased at a higher rate than THU over the study period, demonstrating that patients are paying an increasing proportion of RCR costs. A large percentage of this increase comes from increasing POPE for the immediate procedure. Out-of-network facility status increased POPE three times more than out-of-network surgeon status, and future cost-optimization strategies should focus on facility-specific reimbursements in particular. Lastly, ASCs significantly reduced POPE, so performing arthroscopic RCRs at ASCs is beneficial to cost-minimization efforts.