Healthcare Financing Core
The Healthcare Financing Core is 1 of the 4 required core courses that build upon one another. This core comprises 3 courses: Healthcare Financing and Value; and Principles and Practice of Cost-Effectiveness Analysis and Budget Impact Modeling.
- Study the mechanics of healthcare financing in the post-Affordable Care Act (ACA) era
- Evaluate the full spectrum of alternative payment models, including accountable care organizations (ACOs)
- Learn the principles of healthcare financial accounting
- Study how to calculate the value of additional life-years and quality adjusted life-years gained from healthcare interventions
- Gain expertise in using TreeAge decision-analysis software to construct and analyze cost-effectiveness, cost-utility, cost-minimization and budget-impact models
- Study how to analyze health economic models
- Obtain hands-on skills in conducting health-economic analyses from varying payer perspectives
- Learn how to conduct and analyze systematic reviews and meta-analyses to inform health-economic models
Healthcare Financing and Value (HDS 202A)
Provides an overview of how healthcare is financed in post-ACA America. The class reviews the major payer sources (Medicare, Medicaid, Veterans Administration, private health insurance, self-pay), presents traditional and alternative payer models, compares volume-based versus value-based payment systems, and discusses how ACOs deliver and finance population health.
Students learn about basic healthcare cost accounting principles, including understanding and creating budgets, applications of cost accounting, and construction of healthcare financial statements (e.g., net income and cash flow statements, ratio analysis, pro forma statements).
Students learn basic financial mathematics, including capital budgeting and return on investment (ROI) calculations.
Principles and Practice of Cost-Effectiveness Analysis and Budget Impact Modeling (HDS 202B)
Introduces decision analysis and cost-effectiveness analysis. The class provides students with an introduction to the theory, techniques and practical issues surrounding model development for health economic analysis, with a focus on development and testing of decision trees. Other topics include systematic review and meta-analysis, health status measurement with utilities, budget-impact modeling, and quality assessment of health economic models.
The class consists of interactive lectures supported by hands-on laboratories and reading assignments to become familiar with TreeAge decision-analysis software. The course provides tools to determine how best to balance limited resources with demands to deliver high-quality care. The course surveys the fields of statistics, psychometrics, decision analysis, information technology, epidemiology and medicine to illustrate how employing decision science can allow us to make the best possible healthcare decisions when the stakes are high.
The course allows students to develop a strong understanding of the theory and practice of basic decision analysis and the ability to read articles in the field critically. Finally, students receive training to produce their own health-economics models to help healthcare organizations decide whether to fund (or defund) new programs or interventions using varying payer perspectives.