+ Site Statistics
References:
54,258,434
Abstracts:
29,560,870
PMIDs:
28,072,757
+ Search Articles
+ PDF Full Text Service
How our service works
Request PDF Full Text
+ Follow Us
Follow on Facebook
Follow on Twitter
Follow on LinkedIn
+ Subscribe to Site Feeds
Most Shared
PDF Full Text
+ Translate
+ Recently Requested

Is there a Medicaid penalty? The effect of hospitals' Medicaid population on their private payer market share



Is there a Medicaid penalty? The effect of hospitals' Medicaid population on their private payer market share



Health Economics 22(11): 1360-1376



This study examines whether privately insured patients avoid hospitals with large Medicaid populations. I use a conditional logit model of hospital choice to determine whether the size of a hospital's Medicaid population affects the probability that a privately insured patient will choose that hospital. I focus on the metropolitan area of Tampa, Florida, in the years 1994-1996. I control for hospital fixed effects, hospital-specific time trends, patients' driving time to the hospital, and interactions between patient and hospital characteristics. I also instrument for the Medicaid population using the predicted Medicaid population. The results show that privately insured patients are less likely to choose a hospital if it served a larger number of Medicaid patients who were admitted through the emergency department in the previous 6 months. The effect persists over time-an additional 6-month lag cuts the effect in half. Capacity constraints do not seem to be the reason for the effect. I show that the Medicaid effect size could have a moderate effect on the profits of some hospitals. Although limited in scope, this study suggests that hospitals may experience a negative effect on their private revenues when they admit a large population of Medicaid patients.

Please choose payment method:






(PDF emailed within 0-6 h: $19.90)

Accession: 036672155

Download citation: RISBibTeXText

PMID: 23233433

DOI: 10.1002/hec.2884


Related references

Medicaid eligibility policy and the crowding-out effect: did women and children drop private health insurance to enroll in Medicaid. Issue Brief: 1-7, 1996

Accuracy of Medicaid payer coding in hospital patient discharge data: implications for Medicaid policy evaluation. Medical Care 43(6): 586-591, 2005

Treating Medicaid patients. Medicaid is a difficult payer to work with, but growing patient numbers means physicians must consider how to overcome the obstacles. Medical Economics 92(4): 51-2, 54-5, 2015

State Medicaid and private payer reimbursement for telemedicine: An overview. Journal of Telemedicine and Telecare 12 Suppl 2: S32-S39, 2006

Medicaid program; refunding of federal share of overpayments made to Medicaid providers--HCFA. Final regulations. Federal Register 54(22): 5452-5462, 1989

Effect of method of defining the active patient population on measured immunization rates in predominantly Medicaid and non-Medicaid practices. Pediatrics 106(1 Pt 2): 171-176, 2000

Comparison of treatment result and compliance between private practice Medicaid and non-Medicaid orthodontic patients--a brief communication. Journal of Public Health Dentistry 68(3): 167-169, 2008

The ACA Medicaid Expansion, Disproportionate Share Hospitals, and Uncompensated Care. Health Services Research 53(3): 1562-1580, 2017

A market share analysis for prior authorized medicaid prescriptions. Pharmaceutical Research (New York) 12(9 SUPPL ): S119, 1995

For Disproportionate-Share Hospitals, Taxes And Fees Curtail Medicaid Payments. Health Affairs 35(12): 2277-2281, 2018

Medicare and Medicaid program; withholding the federal share of payments to recover Medicare or Medicaid overpayments--HCFA. Final rule. Federal Register 50(91): 19684-19690, 1985

Changing state and federal payment policies for Medicaid disproportionate-share hospitals. Health Affairs 17(3): 118-136, 1998

Medicaid program; modification of the Medicaid upper payment limit for non-state government-owned or operated hospitals. Final rule. Federal Register 67(13): 2602-2611, 2002

Comparison of treatment result and compliance between private practice Medicaid and non-Medicaid orthodontic patients, Steven Dickens, University of North Carolina, Chapel Hill. American Journal of Orthodontics and Dentofacial Orthopedics 132(1): 126-127, 2007

Medicare and Medicaid program; withholding the federal share of payments to recover Medicare or Medicaid overpayments--Health Care Financing Administration. Proposed rule. Federal Register 48(29): 6304-6309, 1983