Secret Shopper Data on Private Prices in the Nursing Home Industry From 2008 to 2010

Lacey Loomer, Ashvin Gandhi, Fangli Geng, David C. Grabowski

Research output: Contribution to journalArticlepeer-review

1 Scopus citations

Abstract

Nationwide nursing home private-pay prices at the facility-level have not been available for researchers interested in studying this unique health care market. This study presents a new data source, Caregiverlist, for private-pay prices for private and semiprivate rooms for 12,000 nursing homes nationwide collected between 2008 and 2010. We link these data to publicly available national nursing home-level data sets to examine the relationship between price and nursing home characteristics. We also compare private-pay prices with average private-pay revenues per day for California nursing homes obtained from facilities’ financial filings. On average, private-pay prices were $224 per day for private rooms compared with $197 per day for semiprivate rooms. We find that nursing homes that are nonprofit, urban, hospital-based, have a special care unit, chain-owned, and have higher quality ratings have higher prices. We find average revenues per day in California to be moderately correlated with prices reported by Caregiverlist.

Original languageEnglish (US)
JournalMedical Care Research and Review
DOIs
StateAccepted/In press - 2019
Externally publishedYes

Bibliographical note

Funding Information:
https://orcid.org/0000-0001-8177-6043 Loomer Lacey 1 Gandhi Ashvin 2 Geng Fangli 3 Grabowski David C. 4 1 Brown University, Providence, RI, USA 2 University of California–Los Angeles, Los Angeles, CA, USA 3 Harvard University, Cambridge, MA, USA 4 Harvard Medical School, Boston, MA, USA Lacey Loomer, Department of Health Services, Policy and Practice, Brown University School of Public Health, 121 South Main Street, G-121-3. Providence, RI 02912, USA. Email: lacey_loomer@brown.edu 9 2019 1077558719879022 22 5 2019 25 8 2019 © The Author(s) 2019 2019 SAGE Publications Nationwide nursing home private-pay prices at the facility-level have not been available for researchers interested in studying this unique health care market. This study presents a new data source, Caregiverlist, for private-pay prices for private and semiprivate rooms for 12,000 nursing homes nationwide collected between 2008 and 2010. We link these data to publicly available national nursing home-level data sets to examine the relationship between price and nursing home characteristics. We also compare private-pay prices with average private-pay revenues per day for California nursing homes obtained from facilities’ financial filings. On average, private-pay prices were $224 per day for private rooms compared with $197 per day for semiprivate rooms. We find that nursing homes that are nonprofit, urban, hospital-based, have a special care unit, chain-owned, and have higher quality ratings have higher prices. We find average revenues per day in California to be moderately correlated with prices reported by Caregiverlist. nursing home long-term care price private-pay National Institute on Aging https://doi.org/10.13039/100000049 T32-AG000186 edited-state corrected-proof We thank Julie Northcutt at Caregiverlist for providing valuable insight into this data source. Ashvin Gandhi gratefully acknowledges funding from the National Institute on Aging. Declaration of Conflicting Interests The author(s) declared the following potential conflicts of interest with respect to the research, authorship, and/or publication of this article: David Grabowski serves as a paid consultant to Precision Health Economics, Vivacitas, and CareLinx. Dr. Grabowski also services on the Scientific Advisory Committee for NaviHealth. Lacey Loomer serves as a paid consultant to American Health Care Association. Funding The author(s) disclosed receipt of the following financial support for the research, authorship, and/or publication of this article: Funding was received from the National Institute on Aging, through Grant Number T32-AG000186 to the National Bureau of Economic Research. ORCID iD Lacey Loomer https://orcid.org/0000-0001-8177-6043 Supplemental Material Supplemental material for this article is available online.

Publisher Copyright:
© The Author(s) 2019.

Keywords

  • long-term care
  • nursing home
  • price
  • private-pay

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