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Wednesday, January 22, 2025

Montana Medicaid Report Shows Positive Impact on Healthcare Costs and Outcomes

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Aaron Wernham, MD, MS, Chief Executive Officer at Montana Healthcare Foundation | Official website

Aaron Wernham, MD, MS, Chief Executive Officer at Montana Healthcare Foundation | Official website

Bozeman, Mont. (February 7, 2023) - The Montana Healthcare Foundation recently released its third annual report on the Montana Medicaid program, highlighting the program's significant impact on the state's budget, economy, and health. According to Dr. Aaron Wernham, the CEO of the Montana Healthcare Foundation, "The program is doing exactly what it was designed to do."

The report revealed that Medicaid expansion enrollees in Montana experienced a decrease in emergency room visits and a shift towards more cost-effective healthcare services such as outpatient care and pharmacy. Over the years, there was a notable decline in health care costs per enrollee, with ER and inpatient costs decreasing by more than 18% over three years.

Furthermore, the report highlighted that Medicaid coverage supported a wide range of preventive services for over 60,000 individuals, including wellness exams, cancer screenings, and dental visits. This led to a decrease in ER visits for common illnesses over the years of enrollment, illustrating the positive outcomes of the program.

Key findings from the report included that Montana spends a lower proportion of its state general fund on Medicaid compared to peer states, generating estimated state budget savings of over $27 million in 2022. Additionally, Medicaid expansion resulted in fewer ER visits and hospitalizations for enrollees each year, showcasing the program's effectiveness in improving healthcare outcomes and reducing costs.

Medicaid expansion in Montana has also enabled access to preventive services, mental health services, and substance use disorder treatment for thousands of individuals. The program has been particularly beneficial for rural Montanans, with nearly two-thirds of enrollees residing in rural areas.

The report, titled "Medicaid in Montana: How Medicaid Impacts Montana’s State Budget, Economy, and Health," was produced by Manatt Health and commissioned by the Montana Healthcare Foundation.

For more information about Manatt Health and their services, visit their website at https://www.manatt.com/Health.

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