PREVENTABLE HOSPITALIZATIONS AND SOCIOECONOMIC-STATUS

''Preventable'' hospitalizations have been proposed as indicators of p oor health plan performance. In this study of elderly Medicare benefic iaries, however, we found that preventable hospitalizations are also m ore common among elders of lower socioeconomic status (SES). The relat ionship persisted even when an up-to-date severity-of-illness adjustme nt system was used. To the extent that indicators of health plan ''per formance'' reflect enrollees' characteristics, plans will be rewarded for marketing their services to wealthier, healthier, and better-educa ted patients. Further work is needed to clarify issues of accountabili ty for preventable hospitalizations and other putative indices of heal th plan performance.