While Medicaid managed care has seen a significant increase, it remains unclear whether or not the competition between managed care organizations actually reduces spending and improves incomes, according to a new report from the Congressional Budget Office (CBO).
 
The report states that while these two results are often referenced as benefits by supporters, “studies of managed care have not found consistent evidence to support those claims.”
 
But the enrollment rate in managed care increased from 63% to 89% between 1999 and 2012, according to the CBO report. During the same period, Medicaid spending on managed care rose from 15% to 37%.
 
Between 1999 and 2014, most states saw an increase in Medicaid spending that went to managed care. The number of states with more than 25% of Medicaid spending going toward managed care climbed from five to 30 within that timeframe. This was not the trend in all states, though.
 
“The share of Medicaid spending that went to managed care declined in [six] states over that period, and in 2014, managed care accounted for less than 5 percent of Medicaid spending in 11 states,” the report states.
 
Related link: View the full CBO report at https://bit.ly/2np2ZEc.