Medicaid physician fee levels and children's access to care

J W Cohen1, P J Cunningham

  • 1Division of Medical Expenditure Studies, Agency for Health Care Policy and Research (AHCPR), Rockville, MD, USA.

Insights

Higher Medicaid physician fees increase children's preventive care visits and likelihood of having a regular doctor. This can lead to reduced overall ambulatory physician spending, improving healthcare access.

Area of Science:

  • Health Economics
  • Pediatric Healthcare Policy
  • Public Health Services

Background:

  • Medicaid physician fees significantly influence healthcare access and utilization for children.
  • Understanding the impact of fee generosity on service use is crucial for optimizing public health programs.
  • Previous research has not fully elucidated the relationship between Medicaid reimbursement rates and children's ambulatory care patterns.

Purpose of the Study:

  • To analyze the effect of physician fee generosity on children's use of preventive and illness-related ambulatory care.
  • To investigate how Medicaid fee levels impact the choice of a usual source of care for pediatric services.
  • To determine the association between having a regular doctor's office and overall ambulatory physician spending for children.

Main Methods:

  • Utilized data from the 1987 National Medical Expenditure Survey (NMES).
  • Employed statistical analysis to examine the correlation between Medicaid fee generosity and physician service utilization.
  • Assessed the impact on both preventive and illness-related ambulatory care visits.

Main Results:

  • More generous Medicaid physician fees were linked to a higher probability of children having a doctor's office as a usual source of care.
  • Increased fee generosity correlated with a greater number of preventive visits at office-based settings.
  • Establishing a usual source of care was associated with reduced overall ambulatory physician expenditures.

Conclusions:

  • Enhancing Medicaid physician reimbursement rates can improve children's access to regular, preventive healthcare.
  • A usual source of care, facilitated by adequate fees, may lead to more efficient healthcare spending.
  • Policy adjustments to physician fees under Medicaid could positively influence pediatric healthcare utilization and cost-effectiveness.

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