PCCM could save HUSKY more than $100 million over HMOs

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An analysis by the CT Health Policy Project estimates that it will cost the state $113 million more annually to moving HUSKY families to HMOs than to Primary Care Case Management (PCCM). PCCM is a way of running HUSKY without HMOs, by creating “medical homes” to coordinate care. PCCM has been successful in thirty other states providing better health outcomes, and higher consumer and provider satisfaction and saving money. The estimates are based on total HUSKY program costs reported by DSS for November 2007 (before the capitated HMOs left the program) and May 2008 (during the fee-for-service transition) adjusted for HMO and PCCM administrative fees and the 24% rate increase granted to HMOs this year. Policymakers facing difficult program decisions due to this year’s significant budget deficit are taking note.
Ellen Andrews