Diagnosis-related Group - Purpose

Purpose

The original objective of diagnosis related groups (DRG) was to develop a classification system that identified the "products" that the patient received. Since the introduction of DRGs in the early 1980s, the healthcare industry has evolved and developed an increased demand for a patient classification system that can serve its original objective at a higher level of sophistication and precision. To meet those evolving needs, the objective of the DRG system had to expand in scope. Today, there are several different DRG systems that have been developed in the US. They include:

  • Medicare DRG (CMS-DRG & MS-DRG)
  • Refined DRGs (R-DRG)
  • All Patient DRGs (AP-DRG)
  • Severity DRGs (S-DRG)
  • All Patient, Severity-Adjusted DRGs (APS-DRG)
  • All Patient Refined DRGs (APR-DRG)
  • International-Refined DRGs (IR-DRG)

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