Payment analysis of total hip replacement

PURPOSE OF REVIEW: Based on current projections, the American Academy of Orthopedic Surgeons estimates that approximately 750 000 joint-replacement procedures will be performed annually. Total-hip-replacement surgery has been shown to be one of the safest and most effective interventions in medicine, decreasing pain and restoring mobility and function in people with long-term hip disease, or injury. RECENT FINDINGS: With the reported increases in life expectancy, a large segment of the population will be entering their fifties and sixties over the next decade. Many of these so-called baby-boomers have been physically active through their life and have a strong desire to maintain their current active lifestyles. Demand on these joint-replacement procedures will increase significantly. Between one-third and one-half of all joint-replacement procedures performed in the USA are hip replacements. SUMMARY: It is estimated that over $15 billion per year are spent on hip-replacement surgery in the USA alone. These large outlays of dollars have made this procedure the focus of cost-containment efforts by the government and private payers.