Background It is not known how disability, homelessness, or neighborhood marginalization influence risk-adjusted hospital performance measurement in a universal health care system. Methods We evaluated the effect of including these equity-related factors in risk-adjustment models for in-hospital mortality, and 7- and 30-day readmission in 28 hospitals in Ontario, Canada. We compared risk-adjustment with commonly-used clinical factors to models that also included homelessness, disability, and neighborhood indices of marginalization. We evaluated models in historical data using internal-external cross-validation. We calculated risk-standardized outcome rates for each hospital in a recent reporting period using mixed-effects logistic regression. Results The cohort included 544,805 admissions. Adjustment for disability, homelessness, and neighborhood marginalization had little impact on discrimination or calibration of risk-adjustment models. However, it influenced comparative hospital performance on risk-standardized 30-day readmission rates, resulting in 5 hospitals being reclassified between below-average, average, and above-average groups. No hospitals were reclassified for mortality and 7-day readmission. Conclusion In a system with universally insured hospital services, adjustment for disability, homelessness, and neighborhood marginalization influenced estimates of hospital performance for 30-day readmission but not 7-day readmission or in-hospital mortality. These findings can inform researchers and policymakers as they thoughtfully consider when to adjust for these factors in hospital performance measurement.
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