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Christian Elsner, Dennis Häckl: Health Economic value generation in the Azerbaijan Republic:
                                                                            simulatedresults for a integrated telecardiology care program



                     Overall the AR health  care system  acts as an  integrated  model  where the  providers are


               owned by the payors. The public health providers, as state institutions, have limited financial and

               managerial autonomy: Public health  care facilities receive input-based  payments based on  the

               number of beds or staff through prospective fixed line-item budgets. That means, that a hospital


               will  get paid regardless  of  whether  it  has no  patients or is  fully  occupied. Underspending is

               penalised over reductions in allocations because the next year budgeting process is based on last

               years expenditures. The installed payment mechanism does not provide any incentives for hospital


               administrators to reduce costs to improve efficiency or to reward better performing facilities.

                     In  the field of  congestive heart  failure it is  hard  to  get exact  data for the incidence  and


               prevalence  in  the AR. For  the  simulation model an extrapolation from Healthgrades© was  used

               [http://www.rightdiagnosis.com/c/congestive_heart_failure/stats-country.htm]. Due to a shifted age-

               structure compared to the US and Germany, where roughly 2% of the 40-59 aged, 5% of the 60-69


               aged and 10% of the over 70 aged population suffer from CHF, the rate in the AR may be slightly

               lower per se – an effect, which may be compensated due to a poorer treatment regime. According to

               Healthgrades© an overall rate of 1.764 % CHF patients in the AR can be estimated. Taking into


               account, that  the AR  has  9.49  MIO inhabitants [http://en.wikipedia.  org/wiki/Azerbaijan], this

               represents a number of 167.551 people relevant for an innovative CHF therapy.

                     To the knowledge of the authors there are no special telemedical care programs for CHF


               underway in the AR. A first medical Internet and telemedicine station in the Azerbaijan Republic

               was  establishedin June 1997.  In  the consequent  years consultations were carried  out with

               international clinics in specialties such as cardiology, ophthalmology, endocrinology and surgery


               – but up to date there is no systematic approach to care for CHF patients systematically over a

               telemedical approach.A telemedical approach with patient-morbidity oriented budgeting and a




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