

Changes in Health Plans Serving Medicaid, 1993-1996
September/October 1997
Health Affairs, vol.16, no.5 (September/October 1997): 125-133
Suzanne Felt-Lisk, Sara Yang
o better understand the Medicaid managed care market during a period
of rapid change, we developed a new data set that links Medicaid enrollment data with
health maintenance organization (HMO) industry data for 1993-1996 to analyze Medicaid
enrollment in full-risk health plans. Nearly half of the Medicaid enrollees in a fully
capitated managed care arrangement were in plans in which Medicaid makes up at least 75
percent of the total enrollment. In addition, the number of Medicaid-only plans has more
than doubled since 1993. Commercial-based plans participated increased in Medicaid managed
care during the period, yet more than half of the plans entering the Medicaid market were
newly formed.
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