Health Care Utilization and Medicaid Spending in Children with Type 1 Diabetes in the Alabama Medicaid Program

Area of Science:

• Pediatric Endocrinology
• Health Services Research
• Health Economics

Background:

• Limited data exist on healthcare utilization and costs for low-income children with type 1 diabetes.
• Understanding these patterns is crucial for resource allocation and policy development.

Purpose of the Study:

• To examine the patterns of healthcare service use and associated costs among low-income children with type 1 diabetes enrolled in Alabama's Medicaid program.
• To identify factors influencing cost and service utilization in this population.

Main Methods:

• Descriptive analysis of healthcare service utilization and costs.
• Examination of demographic factors (race, age) influencing spending and utilization.
• Analysis of data from the Alabama Medicaid program over a 7-year period.

Main Results:

• Over 7 years, 5,638 children with type 1 diabetes were enrolled in Medicaid.
• Direct medical costs for type 1 diabetes care increased substantially, outpacing overall Medicaid spending.
• White children incurred higher costs and utilization than Black children; Hispanic children had the lowest costs.
• Older children with type 1 diabetes exhibited significantly higher costs and utilization than younger children.

Conclusions:

• Type 1 diabetes care for low-income children in Alabama incurs significant and rising costs within the Medicaid program.
• Racial and age disparities exist in healthcare spending and service utilization for pediatric type 1 diabetes.
• Further research is needed to address cost drivers and reduce disparities.