Monday, April 07, 2025

11:00 a.m-12:15 p.m

4-A. New Research: Do Medicaid Payments Cover Care Costs?

Medicaid is the primary payer for nursing home care, covering over 60% of all residents on a typical day. Setting nursing home reimbursement rates too high can lead to excess profits at taxpayers' expense. Yet, nursing homes need appropriate reimbursement to invest in nursing staff and other quality improvement initiatives. This session will provide new information on the relationship between Medicaid nursing home reimbursement rates and reported care costs. Presenters will share findings from their independent assessment of Medicaid reimbursement and the costs associated with Medicaid-reimbursed nursing home care. Their setting-by-setting analysis, funded by the U.S. Department of Health and Human Services, revealed that the average nursing home receives only 82 cents in reimbursement for each dollar it spends providing care to a Medicaid recipient.

  • Marc Cohen, Co-Director, LeadingAge LTSS Center @UMass Boston, University of Massachusetts; Boston Campus Gerontology Institute
  • Edward Miller, Professor and Chair, Department of Gerontology, University of Massachusetts; Boston Campus Gerontology Institute