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Published on: February 22, 2018
Service system finance: implications for children with depression and manic depression
1Division of Health Policy and Management, Mailman School of Public Health, Columbia University, New York, New York 10032, USA.
Insights
Approximately 6.2% of US children have depression, yet many lack treatment. Service system financing, including parity legislation and managed care, may impact access for children with depression and manic depression (DMD).
Area of Science:
- Child and Adolescent Psychiatry
- Health Services Research
- Mental Health Policy
Background:
- An estimated 6.2% of US children meet criteria for depression, with about half not receiving treatment.
- Barriers to treatment access, particularly financial ones, require examination within service systems.
- Changes in healthcare financing, including parity legislation, managed care, and public contracting, may influence service access.
Purpose of the Study:
- To review major changes affecting access to mental health services for children.
- To analyze the potential impact of these changes on children with depression and manic depression (DMD).
- To describe the service use patterns of children with DMD using Medical Expenditure Panel Survey data.
Main Methods:
- Review of legislative changes: parity legislation, managed care, and public contracting.
- Analysis of Medical Expenditure Panel Survey data to characterize service use in children with DMD.
- Comparison of service use and payment patterns for children with DMD versus other pediatric mental health diagnoses.
Main Results:
- Children with DMD exhibit higher expenditures, inpatient use, and Medicaid payment rates compared to other children with mental health diagnoses.
- This population is disproportionately represented among the most costly pediatric mental illness cases.
- Children with DMD have low out-of-pocket expenses, indicating limited impact of parity efforts focused solely on copayments and deductibles.
Conclusions:
- Parity legislation focusing on copayments and deductibles may not significantly alleviate the financial burden for children with DMD.
- Due to their high utilization of services, children with DMD are at increased risk from healthcare rationing mechanisms like utilization review and capitation.
- Further research is needed to understand and mitigate potential negative impacts of healthcare system changes on this vulnerable population.
Abstract:
An estimated 6.2% of children in the United States satisfy the criteria for a depression diagnosis, but approximately half of this group do not receive necessary treatment. Thus it is important to consider potential barriers to use through service system finance. This article reviews three major types of changes affecting access: parity legislation, managed care, and public contracting. How these developments will affect children with depression and manic depression (DMD) is unclear. To better understand the potential effects on children with DMD, this review uses new data from the Medical Expenditure Panel Survey to describe the service use patterns of this population. These children have higher levels of expenditures, higher rates of inpatient use, and higher rates of Medicaid payment than do other children with mental health diagnoses; they also are overrepresented among the costliest cases of mental illness in children. Children with DMD pay a relatively low out-of-pocket share, suggesting that parity efforts focusing only on copayments and deductibles will have little effect on the absolute out-of-pocket burden for these children. Because children with DMD are overrepresented among high utilizers of health services, health care rationing arrangements or techniques, such as utilization review and capitation, may place this population at particular risk.
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