INSURASALES

Medicare Wastes $4.4B on Low-Value Tests for Older Adults, Study Finds

A new study published in JAMA Health Forum highlights that Medicare and older adults spend approximately $4.4 billion annually on medical services that have low or no clinical value, with potential health risks. This study focuses on 47 tests, scans, and procedures overused in the Medicare population, where five services alone account for nearly $2.6 billion in potential savings if eliminated.

These five services, deemed low-value by the U.S. Preventive Services Task Force, include screenings for COPD, asymptomatic urinary tract bacteria, prostate-specific antigen testing in men over 70 without prostate issues, carotid artery blockage in symptom-free adults, and electrocardiogram screenings for asymptomatic heart rhythm issues. The research, grounded in anonymized Medicare claims data, excludes downstream costs but suggests these could greatly increase total waste due to follow-up treatments.

Experts advocate for clinically nuanced reforms rather than blunt cost-cutting measures to protect patient safety and Medicare's long-term sustainability. They emphasize that while some patients may benefit from these services, significant savings and improved care quality can be achieved by avoiding unnecessary procedures in others.