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Persistent readmission rate penalties are counterproductive

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A new study suggests hospitals that receive penalties for their 30-day Medicare readmission numbers often have a limited ability to solve the problem.

The Affordable Care Act’s Hospital Readmissions Reduction Program (HRRP) has targeted providers with incentives meant to reduce the rate of avoidable readmissions, in a bid to reduce overall healthcare costs. While some studies have linked penalty payments to lower readmission rates, questions remain regarding whether those lower rates have a measurable effect on improved outcomes, per previous reporting by FierceHealthcare.

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