In MS-DRGs, the case-mix index is a proxy for what?

The case-mix index in the context of MS-DRGs (Medicare Severity Diagnosis Related Groups) serves as a proxy for the consumption of resources. It reflects the diversity and complexity of cases being treated within a healthcare facility. A higher case-mix index indicates a higher level of illness severity among patients, which typically correlates with an increased consumption of healthcare resources such as staff time, diagnostic tests, treatments, and other services required to effectively manage more complex cases.

By utilizing the case-mix index as a measurement tool, healthcare administrators can assess the financial implications of different patient populations, allowing for better resource allocation and sustainable budget planning. Understanding the case-mix index is crucial for managing costs effectively as it provides insight into how variations in patient complexity can affect resource utilization and overall operational efficiency within healthcare organizations.