Medicaid spending per enrollee grew slower than medical care inflation, national health expenditures per capita, and growth in private health insurance per enrollee during the Great Recession. A recent study published by the Kaiser Family Foundation (KFF) analyzed Medicaid spending growth between fiscal years (FYs) 2007 and 2012. The authors found that despite a large increase in Medicaid enrollment due to adverse economic conditions, Medicaid medical service spending only grew by 1.3 percent per year, on average, during the study period. Additionally, the study found increased managed care spending, with an average growth of 14.1 percent per year. Managed care spending grew faster than all other service categories during the study period, in part, due to state policy decisions to expand the scope of enrollees and services provided through managed care.
Please contact Xiaoyi Huang, JD, director of policy, at firstname.lastname@example.org or 202.585.0127 with questions.