Medicare Advantage Study on Non-Medical Benefits and Health Outcomes
A National Institute on Aging grant valued at $3 million will support a comprehensive study of Medicare Advantage's extension of benefits, including social services like food aid and transportation. Led by George Mason University health economist Jeah Jung, this five-year research will use Medicare administrative data to assess whether these additional benefits reduce emergency room visits, hospital stays, and nursing home admissions.
The study aims to deliver nationwide insights into the usage and effectiveness of these services, evaluating this substantial federal initiative. Currently, a significant portion of the elderly population in the United States receives Medicare through Medicare Advantage plans, which are known for their expanded benefits introduced in 2020, covering services like meal deliveries, transportation, and utility aid.
Non-Medical Benefits and Health Outcomes
Jeah Jung will focus on whether these non-medical benefits can mitigate negative health outcomes and improve functional health. Highlighting the importance of addressing health-related social needs, Jung pointed out the existing lack of data on the use and impact of these benefits, which target social determinants of health.
By 2025, 55% of Medicare recipients, or approximately 34.4 million people, are anticipated to be in Medicare Advantage plans, with over 30% of these plans integrating non-medical supplemental benefits. A notable adoption rate of over 90% has been observed among dual-eligible special needs plans, which serve individuals eligible for both Medicare and Medicaid.
This expansive Medicare initiative seeks to address unaddressed social needs while assessing its effectiveness in sustaining and enhancing beneficiaries' health outcomes. The project intends to provide empirical evidence that could refine future policy decisions related to federal healthcare programs.
The research will examine the connection between non-medical benefits and changes in emergency visits, hospitalization rates, and patients' ability to live independently. It will also explore demographic variations in benefit utilization, factoring in race, ethnicity, gender, health risks, and socioeconomic conditions at the community level.
Additional contributions will be made by Emily Ihara, a professor and chair in the Department of Social Work, along with researchers from Oregon Health & Science University and Dartmouth College, to provide a comprehensive analysis of these important issues.