Differentials and disparities in the costs of major hospital procedures in South Africa: A structural analysis from the perspective of the supply side

Abstract

The aim of this study was to examine the extent to which providers' practices affect the cost of hospital procedures incurred by patients. The spsecific objective was to explore the magnitude of variations and statistically establish the significance of relationships between admission/specialist costs incurred by patients for four major procedures and the hospital group, geographical location, employer group and demmographic realted risk profiles. The study contributes to a better understanding of the way in which managed care companies could channel beneficiaries of medical schemes to efficient providers.