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Medica Research Institute to Study Pent-Up Demand in Health Care
[October 22, 2014]

Medica Research Institute to Study Pent-Up Demand in Health Care


MINNEAPOLIS --(Business Wire)--

The Medica Research Institute is launching a study that will examine the health care utilization and characteristics of newly enrolled members in Medicaid and MNsure, Minnesota's health insurance exchange. Study findings will help to pinpoint how people are using health care as the Affordable Care Act (ACA) rolls out, and it will inform policy decisions around ACA.

The eighteen-month-long study will analyze newly insured populations in Minnesota to determine whether there is evidence of pent-up demand, and, if so, whether that high level of demand persists over time. The work is funded by the State Health Access Reform Evaluation (SHARE) program of the Robert Wood Johnson Foundation and done in collaboration with the Urban Institute.

"We are excited to dig into the data to understand the factors that are driving health care utilization as ACA begins," says study director Dr. Angela Fertig, research investigator for the Medica Research Institute. "Our findings will be critical for assessing both the long-term costs of covering the newly insured and projecting the ongoing health care needs of the newly insured under the ACA. As an example, we have already found in preliminary analyses that a greater fraction of men enrolled in Medicaid in 2011, when Minnesota expanded the program to include low-income childless adults. That change in enrollees likely brought with it a shift in demand for certain health care services such as prostate screenings." To learn more, see the "In Brief" analysis released by the Medica Research Institute today.

The researchers will use enrollment and claims data from Medica's 1.2 million Minnesota members to examine health care utilization among newly enrolled members of private individual and family (non-group) plans in Minnesota's exchange and in the Medicaid program. The team will look for evidence of pent-up demand among these groups-for example, whether care is focused on diagnostic testing, preventive screening, and initial care visits in the early period of ACA. The researchers will look at whether that sort of care remains high or declines over time. They will also study how the care for newly insured adults compares with that of adults with ongoing coverage.

"When caring for someone who has had no previous access to health care, there are often a lot of primary care visits, tests, and diagnostic costs," says Fertig. "When you think of the ACA rollout, you realize this sort of delayed care is happening on a very large scale. Not understanding the impact of this pent-up demand makes it difficult to project care costs and physician supply."

While Minnesota stands out as an early adopter of the tenantsof the ACA, the state is a good model for understanding health care markets nationally. The state's physician supply, hospital capacity, and managed care penetration are all close to U.S. averages. While the socioeconomic characteristics of Minnesota's population don't mirror the U.S. population, the researchers will reweight the sample group to look more like the national population.



About the Medica Research Institute
The Medica Research Institute is an applied, academic-like environment in Minneapolis, Minnesota that conducts leading-edge research which informs high value health care. Institute investigators explore key issues in health care by resourcing its regional health plan affiliation (Medica) and health care systems serving patients in the upper Midwest. Optimizing health care delivery, enhancing health care user engagement, and informing community health are the three main pillars of the Institute's research agenda. To learn more, visit MedicaResearchInstitute.org.

About Medica
Medica is the parent company to the Medica Research Institute and operates as a health care services company headquartered in Minneapolis and active in the Upper Midwest. With nearly 1.5 million members, the non-profit company provides health care coverage in the employer, individual, Medicaid, Medicare and Medicare Part D markets in Minnesota and a growing number of counties in North Dakota, South Dakota and Wisconsin. Medica also offers national network coverage to employers who also have employees outside the Medica regional network.


About the Urban Institute
The Urban Institute conducts sophisticated research to understand and solve real-world challenges in a rapidly urbanizing environment. Their work engages communities at multiple levels - city, state, and country - as they gather data and evaluate programs. Urban Institute's scholars blend academic rigor with on-the-ground collaboration, teaming with policymakers, community leaders, practitioners, and the private sector to diagnose problems and find solutions. To learn more, visit www.urban.org.

About the State Health Access Reform Evaluation
The State Health Access Reform Evaluation (SHARE) is a Robert Wood Johnson Foundation (RWJF) program that supports rigorous research on health reform issues, especially as they relate to the state implementation of the Affordable Care Act (ACA). With the passage of ACA, the impact of national reform on the states, particularly with respect to implementation, is a critical issue. SHARE-sponsored research will provide timely guidance about implementation as states consider their unique responsibilities in executing ACA. SHARE operates out of the State Health Access Data Assistance Center (SHADAC), an RWJF-funded research center in the Division of Health Policy and Management, School of Public Health, University of Minnesota. More information is available at www.shadac.org/share.

About the Robert Wood Johnson Foundation
For more than 40 years the Robert Wood Johnson Foundation has worked to improve the health and health care of all Americans. We are striving to build a national Culture of Health that will enable all Americans to live longer, healthier lives now and for generations to come. For more information, visit www.rwjf.org. Follow the Foundation on Twitter (News - Alert) www.rwjf.org/twitter or Facebook (News - Alert) www.rwjf.org/facebook.


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