Home Health & Hospice Week

Industry Notes:

MA Plan Penetration Affects Even Non-MA Patient Utilization

The rise of Medicare Advantage plans isn’t just affecting your agency — it’s suppressing utilization of post-acute services overall, a recent study says.

A study led by Harvard University’s Fangli Geng found that “market-level MA expansion is associated with reduced postacute care use among traditional Medicare beneficiaries — a ‘spillover’ effect of providers modifying their practice patterns in response to MA plans’ incentives,” according to its abstract published in the April issue of Health Affairs.

But that reduction may not come with some negative consequences you would expect. “We found increased MA market penetration associated with reduced postacute care use among traditional Medicare beneficiaries, without a corresponding increase in hospital readmissions,” the study notes.

See the abstract online at www.healthaffairs.org/doi/ full/10.1377/hlthaff.2022.00994.

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