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Trends and current drug utilization patterns of Medicaid beneficiaries.

Lied TR, Gonzalez J, Taparanskas W, Shukla T - Health Care Financ Rev (2006)

Bottom Line: We found that there was a substantial increase in both drug utilization and expenditures during this timeframe.Increased utilization resulted from increases in Medicaid enrollment, the mean number of prescriptions per enrollee, mean nominal and inflation-adjusted reimbursement per prescription, and the tendency for increased use of more expensive drugs.The top 40 drugs accounted for nearly $14.4 billion, roughly 43 percent of the total drug reimbursements for calendar year (CY) 2003.

View Article: PubMed Central - PubMed

Affiliation: Centers for Medicare & Medicaid Services, Baltimore, MD 21244-1850, USA. terry.lied@cms.hhs.gov

ABSTRACT
This study used national Medicaid data from 1994-2003 to investigate trends in noninstitutional drug utilization and expenditures in the Medicaid Program. We found that there was a substantial increase in both drug utilization and expenditures during this timeframe. Increased utilization resulted from increases in Medicaid enrollment, the mean number of prescriptions per enrollee, mean nominal and inflation-adjusted reimbursement per prescription, and the tendency for increased use of more expensive drugs. The top 40 drugs accounted for nearly $14.4 billion, roughly 43 percent of the total drug reimbursements for calendar year (CY) 2003.

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Medicaid Mean Reimbursements in Nominal and Constant (2003) Dollars: Calendar Years 1994-2003
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Related In: Results  -  Collection


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f2-hcfr-27-3-123: Medicaid Mean Reimbursements in Nominal and Constant (2003) Dollars: Calendar Years 1994-2003

Mentions: Table 2 compares the percent change in the base years' 1982-1984 MCPI with the percent change in the mean prescription reimbursement between CYs 1994-2003 and adjusts the mean prescription reimbursement based on 2003 dollars. Between CYs 1994-2003, the percent change in the mean prescription reimbursement outstripped the percent change in MCPI, often by impressive margins. However, by 2003 the difference between the percent change in the MCPI and the percent change in the mean Medicaid prescription reimbursement was only about 1 percent (3.87 versus 4.91). In 1994, the mean reimbursement in 2003 dollars was $35.68. By 2003, the mean reimbursement was $59.85 (in 2003 dollars). Therefore, over this time period the mean reimbursement had increased by $24.17 in constant 2003 dollars, an increase of 68 percent. Figure 1 presents the relationship between percent changes in the MCPI and mean prescription reimbursements between CYs 1994 and 2003. Figure 2 illustrates the trend in mean Medicaid prescription reimbursements between CYs 1994 and 2003 in both nominal and constant 2003 dollars.


Trends and current drug utilization patterns of Medicaid beneficiaries.

Lied TR, Gonzalez J, Taparanskas W, Shukla T - Health Care Financ Rev (2006)

Medicaid Mean Reimbursements in Nominal and Constant (2003) Dollars: Calendar Years 1994-2003
© Copyright Policy
Related In: Results  -  Collection

Show All Figures
getmorefigures.php?uid=PMC4194949&req=5

f2-hcfr-27-3-123: Medicaid Mean Reimbursements in Nominal and Constant (2003) Dollars: Calendar Years 1994-2003
Mentions: Table 2 compares the percent change in the base years' 1982-1984 MCPI with the percent change in the mean prescription reimbursement between CYs 1994-2003 and adjusts the mean prescription reimbursement based on 2003 dollars. Between CYs 1994-2003, the percent change in the mean prescription reimbursement outstripped the percent change in MCPI, often by impressive margins. However, by 2003 the difference between the percent change in the MCPI and the percent change in the mean Medicaid prescription reimbursement was only about 1 percent (3.87 versus 4.91). In 1994, the mean reimbursement in 2003 dollars was $35.68. By 2003, the mean reimbursement was $59.85 (in 2003 dollars). Therefore, over this time period the mean reimbursement had increased by $24.17 in constant 2003 dollars, an increase of 68 percent. Figure 1 presents the relationship between percent changes in the MCPI and mean prescription reimbursements between CYs 1994 and 2003. Figure 2 illustrates the trend in mean Medicaid prescription reimbursements between CYs 1994 and 2003 in both nominal and constant 2003 dollars.

Bottom Line: We found that there was a substantial increase in both drug utilization and expenditures during this timeframe.Increased utilization resulted from increases in Medicaid enrollment, the mean number of prescriptions per enrollee, mean nominal and inflation-adjusted reimbursement per prescription, and the tendency for increased use of more expensive drugs.The top 40 drugs accounted for nearly $14.4 billion, roughly 43 percent of the total drug reimbursements for calendar year (CY) 2003.

View Article: PubMed Central - PubMed

Affiliation: Centers for Medicare & Medicaid Services, Baltimore, MD 21244-1850, USA. terry.lied@cms.hhs.gov

ABSTRACT
This study used national Medicaid data from 1994-2003 to investigate trends in noninstitutional drug utilization and expenditures in the Medicaid Program. We found that there was a substantial increase in both drug utilization and expenditures during this timeframe. Increased utilization resulted from increases in Medicaid enrollment, the mean number of prescriptions per enrollee, mean nominal and inflation-adjusted reimbursement per prescription, and the tendency for increased use of more expensive drugs. The top 40 drugs accounted for nearly $14.4 billion, roughly 43 percent of the total drug reimbursements for calendar year (CY) 2003.

Show MeSH