In an effort to curb Medicaid spending, New Hampshire will soon utilize managed care organizations (MCO) to handle the care of patients supported by Medicaid. Jennifer Farnham, a senior research analyst at the Rutgers University Center for the Study of State Health Policy, explains how the managed care structure — which assigns a single manager decisions about a patient’s health care needs and spending — should help provide more efficient, cost-effective care to the state’s Medicaid recipients:
I think the hope is that because they own the patients’ acute care, long-term care, and behavioral health, they will do a better job of care coordination.
By moving to an MCO structure for Medicaid patients, New Hampshire joins other states implementing a range of initiatives to coordinate and integrate care beyond traditional managed care. These initiatives are focused on improving care for populations with chronic and complex conditions, aligning payment incentives with performance goals, and building in accountability for high quality care.