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Long-Term Care - Essay Example
Author : mclaughlinderic
Pages 8 (2008 words)
LTC210-Introduction to Long Term Care Administration-Unit 3 Aedric Frechelle Name of the University 1. Explain why the long-term care field is now experiencing much more competition than was the case in the past. According to the Global Burden of Disease Study 2010 (GBD 2010), which was published on December 13, 2012, even though the life expectancy has increased for men and women worldwide by more than ten years, they spend more years living with injury and illness (Wang et al., 2012)…
In this particular scenario, as the demand for services by the population increases, and when the reimbursement is available, the providers for services will also increase. For a long time, Medicare and Medicaid were the most significant buyers of long-term care services. However, with the introduction of Managed Care Organizations (MCO), the pressure and the competition has increased. MCOs have the option to choose which providers they will do business with since many of them do not cover long-term care. This directly increases the amount of providers looking to provide the services, resulting in opening up the opportunity for competition between the providers (Pratt, 2010, p. 215). Our system allows competition due to a firm belief that the customer will benefit from competition as better quality will be offered in order to gain more customers. Since the customers are also better informed due to higher education and ability to compare services, their expectations are higher and they give their ‘businesses’ to only those health care organizations that meet their needs. ...