Factors affecting the uncompensated costs in Hospitals of Iran University of Medical Sciences: Panel Data Approach
Uncompensated care causes many financial problems for hospitals. It would be helpful to use any interventions to reduce uncompensated costs. This study aimed to investigate factors affecting Iran University of Medical Sciences (IUMS) hospitalschr('39') uncompensated costs during 2014-2018.
The present study was an analytical and applied research with monthly data from 2014 to 2018. The study population included all hospitals affiliated to Iran University of Medical Sciences, and the tool was an Excel data collection form. Data analysis was performed using EViews 10 software. Model estimation was carried out using the panelchr('39')s econometric approach.
Uncompensated costs during the study period averaged 25 million dollars. The largest share of uncompensated costs belonged to insurance deductions, debts of poor and foreign patients. The results showed a significant positive relationship between the variables of foreign patients, outpatients, hospital beds, bed occupancy rate, and length of stay with uncompensated costs. There was no significant relationship among the variables of number of surgeries, number of hospitalized patients, and uncompensated costs. Moreover, the bed rotation coefficient variable did not affect uncompensated costs, and the hospital beds had the most positive effect on uncompensated costs, followed by the variables of the length of stay and number of foreign patients.
The results of the study showed the high level of uncompensated costs in IUMS hospitals. Due to uncompensated costs’ effect on hospital revenues, it seems that identifying the causes of deductions and subsequently ways to reduce insurance deductions as well as expanding insurance coverage to mitigate non-recoverable costs can be effective.
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