Monday, May 12, 2025

An Update on: Medicaid Pricing versus Medicare Pricing

 A quick pointer to a topic of ongoing interest - the gap between Medicaid prices and Medicare prices.  

See article by Skopec at Health Affairs, May 2025.

https://www.healthaffairs.org/doi/abs/10.1377/hlthaff.2024.01530

Medcaid fees to physicians "for a basket of services" run about 75% of Medicare.   They also write:

  • Medicaid physician fees were approximately 71 percent of Medicare physician fees in 2024, including 
  • 69 percent for office visits, 
  • 68 percent for hospital and emergency department visits, 
  • 87 percent for obstetric care, and 
  • 79 percent for other services under our updated approach.

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Here's a search you can run yourself in Google, I'm just reporting the topline Google results and I haven't researched the info links provided (in Google-AI format as response to search).    Google - medicare versus commercial insurance rates

  • Hospital services - commercial insurers pay nearly double.
  • Commercial insurance pays 143% of Medicare for physicians, some specialties higher.
  • [Hospital] Outpatient services, commercial pays 289% of Medicare