Managed Care


Study: Loosening of Managed Care Hurts the Poor

MANAGED CARE January 2004. © MediMedia USA
News and Commentary

Study: Loosening of Managed Care Hurts the Poor

MANAGED CARE January 2004. ©MediMedia USA

The retreat from tightly managed care in recent years has left casualties on the insurance battlefield: people with low incomes and chronic illness.

So says a report by the Center for Studying Health System Change titled "Patient Cost Sharing: How Much Is Too Much?"

For many, the study implies that that question has already been answered. In citing another study published in the New York University Law Review titled, "Rethinking the Debates Over Health Care Financing: Evidence From the Bankruptcy Courts," the authors cite this sobering statistic: "Nearly half of all personal bankruptcies are due in part to medical expenses." HSC gauged the financial effect of increased cost sharing under six health plan models using data from the 1997 Medical Expenditure Panel Survey and adjusting for 2003 health care cost and utilization increases.

With no deductible and a $10 copayment, 1 percent of people with incomes between 125 percent and 200 percent of the federal poverty level have out-of-pocket costs exceeding 10 percent of their income, compared with 23 percent of people in the same income range who have a plan with a $2,500 deductible and coinsurance.


4th Partnering With ACOs Summit Los Angeles, CA October 27–28, 2014
PCMH & Shared Savings ACO Leadership Summit Nashville, TN November 3–4, 2014
2014 Annual HEDIS® and Star Ratings Symposium Nashville, TN November 3–4, 2014
Medicare Risk Adjustment, Revenue Management, & Star Ratings Fort Lauderdale, FL November 12–14, 2014
World Orphan Drug Congress Europe 2014 Brussels, Belgium November 12–14, 2014
Healthcare Chief Medical Officer Forum Alexandria, VA November 13–14, 2014
Home Care Leadership Summit Atlanta, GA November 17–18, 2014
HealthIMPACT Southeast Tampa, FL January 23, 2015