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Bloomberg: Aunt Midge Not Dying in Hospice Reveals $14B Market

Author: Peter Waldman
December 6, 2011


Peter Waldman claims that hospice care has become a growth industry.

Janet Stubbs was grateful when the nursing home recommended hospice care for her aunt Midge. Although Stubbs knew her aunt wasn't dying, the offer of free, Medicare-paid hospice visits from a nurse and chaplain, plus an extra weekly bath, was too good to pass up.

Stubbs didn't know that her aunt, Doris Midge Appling, was admitted to Hospice Care of Kansas during the company's "Summer Sizzle" promotion drive, which paid employees as much as $100 a head for referrals, according to the U.S. Department of Justice. Stubbs also said she had no clue that the nursing home doctor who referred her aunt for hospice moonlighted as medical director for the hospice company.

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