Association of Children’s Hospital Status With Value for Common Surgical Conditions

Abstract
Although children’s hospitals (CH) comprise less than 5% of hospitals in the United States, CH account for 40% of pediatric inpatient days and 50% of costs for pediatric care.1 CH often provide high-volume, specialized, and resource-intensive care to children who require highly trained clinicians and innovative technologies. One example is congenital heart surgery where mortality rates are lowest at high-volume, specialized centers.2,3 For this type of highly specialized pediatric care, the value proposition of higher costs at CH is arguably justified by demonstrable improved outcomes and quality.4 In 2009, 40 freestanding CH accounted for greater than $10 billion of annual US health care expenditure, and the top 10 CH profited more than $800 million.5 Contemporary pediatric care has witnessed substantial regionalization in the last decade, and there are efforts underway to centralize the delivery of children’s surgical care to specialized centers.6-9