Outpatient total hip & knee replacement costs lower than inpatient — 3 notes

Outpatient total hip and knee replacement costs less than inpatient surgery, after which patients stay two days in the hospital, according to research published in Acta Orthopaedica.

Researchers studied six patients who underwent either total knee or hip replacement in either a hospital orthopedic or outpatient department, as well as the time staff spent with the patients.

Key research insights:

1. The length of stay for patients who underwent outpatient surgery was seven hours, compared to 11 hours for the orthopedic department.

2. Surgery cost in the orthopedic inpatient and outpatient surgery departments were $951 and $942, respectively.

3. Researchers concluded, "Outpatient [total hip arthroplasty] and [total knee arthroplasty] in hospital and ambulatory surgery departments results in similar cost using the [time-driven activity based costing] method. Compared with the cost associated with two-day stays, outpatient procedures are around two-thirds cheaper provided no increase occurs in complications or readmissions."

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