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Do Medicaid home and community based service waivers save money?

Harrington, Charlene, Ng, Terence and Kitchener, Martin James ORCID: 2011. Do Medicaid home and community based service waivers save money? Home Health Care Services Quarterly 30 (4) , pp. 198-213. 10.1080/01621424.2011.622249

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This article estimates the potential savings to the Medicaid program of using 1915c Home and Community Based Services (HCBS) waivers rather than institutional care. For Medicaid HCBS waiver expenditures of $25 billion in 2006, we estimate the national savings to be over $57 billion, or $57,338 per waiver participant in 2006 compared with the cost of Medicaid institutional care (for which all waiver participants are eligible). When taking into account a potential 50% “woodwork effect” (for people who might have refused institutional services), the saving would be $21 billion. This analysis demonstrates that HCBS waiver programs present significant direct financial savings to Medicaid long-term care (LTC) programs.

Item Type: Article
Date Type: Publication
Status: Published
Schools: Business (Including Economics)
Subjects: H Social Sciences > H Social Sciences (General)
H Social Sciences > HJ Public Finance
H Social Sciences > HM Sociology
R Medicine > RA Public aspects of medicine
Uncontrolled Keywords: Cost savings ; Long-term care (LTC) ; Medicaid program ; “Woodwork effect” ; State variation
Publisher: Taylor & Francis
ISSN: 0162-1424
Related URLs:
Last Modified: 20 Oct 2022 09:58

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