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Third-party analysis demonstrates the difference CCNC is making

Third-party analysis demonstrates the difference CCNC is making

Third-Party Analysis Demonstrates the Difference CCNC Is Making

Treo Solutions, Inc., a leading health care analytics company, recently reviewed Medicaid claims data for the period from 2007 to 2009.  By looking at data for the CCNC-enrolled population in comparison to unenrolled Medicaid beneficiaries, Treo projected costs that would be incurred if CCNC did not exist. This puts a number on the savings CCNC makes possible.

Treo's analysis suggests CCNC saved nearly $1.5 billion dollars over the measurement period, as detailed in the graph below.

Using the unenrolled fee-for-service population, risk adjustments were made by creating a total cost of care (PMPM) set of weights by Clinical Risk Group (CRG), with age and gender adjustments. This weight set was then applied to the entire NC Medicaid Population. Using the FFS weight set and base PMPM, expected costs were calculated. This FFS expected amount was compared to the actual Medicaid spend for 2007, 2008, 2009.  The difference between actual and expected spend was considered savings attributable to CCNC.

Earlier studies by Mercer, Inc. estimated the following CCNC savings (on a portion of the enrolled population):

State Fiscal Year Estimated Savings
SFY05     $77 - $81M
SFY06 $154 - $170M
SFY07 $135 - $149M
SFY08 $156 - $164M
SFY09 $186 - $194M