Cost Variation and Value of Care in Pulmonary Lobectomy Across the United States

BACKGROUND Optimization of value, or quality relative to costs, has garnered significant attention in the United States. We aimed to characterize center-level variation in costs and quality after pulmonary lobectomy using a national cohort.METHODS Adults undergoing elective pulmonary lobectomy were identified in the 2016 to 2018 Nationwide Readmissions Database. Quality was defined by the absence of major adverse outcomes including respiratory failure, acute kidney injury, reoperation, and death. Risk-adjusted adverse outcome rates and costs were studied for institutions performing greater than or equal to 10 operations annually. Using observed-to-expected (O/E) ratios, high-value hospitals were defined as those with an O/E ratio less than 1 for costs and O/E ratio less than 1 for quality, while low-value hospitals were defined by the converse.RESULTS Among 95 446 patients managed at 565 hospitals annually, the median center-level cost for lobectomy was $22 000 (interquartile range, $18 000-$27 000), while the median adverse outcome rate was 14.3% (interquartile range, 8.3%-23.1%). Centers with an O/E ratio less than 1 for adverse events exhibited a $2200/case reduction in risk-adjusted costs. Using O/E ratios, 35.2% of centers were classified as high value while 18.6% were low value. Compared with low-value centers, high-value centers treated older patients (67.1 years of age vs 65.5 years of age; P < .001) with greater comorbidities (Elixhauser Comorbidity Index 3.7 vs 2.9; P < .001) but had greater annual lobectomy volume (40 cases vs 30 cases; P 1/4 .001) and were more commonly teaching hospitals.CONCLUSIONS Significant variation in costs and quality persists for lobectomy at the national level. Although high-value programs operated on patients at greater surgical risk, they had reduced complications and costs. Our findings suggest the need for dissemination of quality improvement and cost reduction practices.(Ann Thorac Surg 2023;115:671-8)(c) 2023 by The Society of Thoracic Surgeons