Introduction
Medicare Advantage plans continue to evolve, offering innovative supplemental benefits designed to address social determinants of health. A groundbreaking October study from the Elevance Health Public Policy Institute reveals a compelling connection between grocery card benefits and healthcare utilization among dual-eligible beneficiaries. This research demonstrates how addressing basic needs like food security can significantly impact healthcare engagement and patient outcomes.
The study’s findings provide critical insights into the effectiveness of non-medical supplemental benefits, particularly for vulnerable populations enrolled in Medicare Advantage dual-eligible special needs plans. As healthcare organizations and policymakers seek evidence-based approaches to improve patient care while managing costs, this research offers valuable data supporting the integration of social services into healthcare delivery models.
Understanding the Study Background
Published in the American Journal of Managed Care, the comprehensive study examined adults with continuous enrollment in Elevance Health-affiliated Medicare Advantage plans throughout 2021 and 2022. The research specifically focused on dual-eligible beneficiaries—individuals qualified for both Medicare and Medicaid—who often face significant socioeconomic challenges affecting their health outcomes.
During the study’s second year, participants enrolled in Medicare Advantage dual-eligible special needs plans gained access to a grocery card benefit. This supplemental benefit was strategically designed to assist with food access, particularly targeting low-income individuals and those managing chronic conditions. The grocery card program represents a growing trend in value-based care, where insurers recognize that addressing social determinants of health can improve overall patient wellbeing.
Researchers meticulously analyzed claims data alongside individual-level spending patterns on the grocery cards, creating a detailed picture of benefit utilization and its correlation with healthcare service usage. This methodology allowed for precise tracking of behavioral changes following the introduction of food assistance benefits.
Key Research Findings
Increased Healthcare Engagement
The study uncovered significant positive correlations between grocery card benefit usage and healthcare utilization. Beneficiaries who actively leveraged the grocery card benefit demonstrated notably higher rates of preventive and routine healthcare engagement compared to non-users.
According to the research, participants using the grocery benefit experienced substantial increases in several key healthcare metrics:
- Annual wellness visits increased by 4.9% to 6.6%
- Primary care appointments rose significantly
- Specialist consultations showed marked improvement
Jennifer Kowalski, vice president of the Elevance Health Public Policy Institute, explained the underlying mechanism: “If you’re not as concerned about procuring food … you have more ability to turn attention to some of the other needs that you might have, whether that’s visiting your doctor or getting your annual wellness visit.”
This observation highlights a fundamental principle in healthcare delivery—when basic survival needs are met, patients can prioritize preventive care and chronic disease management. The grocery card benefit essentially removes a significant barrier to healthcare engagement by alleviating food insecurity concerns.
Hospital Admission Trends
The research revealed nuanced findings regarding inpatient hospital admissions. Frequent users of the grocery benefit—defined as those utilizing more than half their monthly allowance—experienced a modest reduction in inpatient admissions compared to individuals not taking advantage of the program.
However, the study did not identify significant differences in overall inpatient admissions or emergency department visits when comparing all grocery card users to non-users. This suggests that while consistent, high-level utilization of food benefits may prevent some hospitalizations, occasional or minimal use may not produce the same protective effect.
These findings underscore the importance of engagement level and benefit adequacy in achieving desired health outcomes. Simply offering supplemental benefits may not be sufficient; beneficiaries must actively and consistently utilize these resources to realize potential health improvements.
Policy Implications and Future Outlook
The study’s results carry significant weight in ongoing healthcare policy discussions. “There’s skepticism out there as to whether some of these benefits are really valuable for members,” Ms. Kowalski acknowledged. “We want to make sure that the benefits that are truly making a difference to our members are still available to be offered.”
The research strongly validates policy reforms implemented in 2019 and 2020 that expanded flexibility for Medicare Advantage plans to offer diverse supplemental benefits. These regulatory changes allowed insurers to address social determinants of health more comprehensively, moving beyond traditional medical services to encompass food assistance, transportation, and housing support.
Kowalski believes this evidence could substantially influence future deliberations in Washington, D.C., particularly regarding standardization of benefit packages across Medicare Advantage plans. As policymakers consider which supplemental benefits should be encouraged or mandated, data demonstrating measurable impacts on healthcare utilization and patient outcomes become invaluable.
Looking forward, researchers plan to conduct longitudinal studies examining longer-term cost implications and savings potential. Ms. Kowalski expressed particular interest in tracking how sustained access to grocery benefits might affect inpatient admissions and emergency department utilization as preventive care becomes more routine for beneficiaries.
Conclusion
This landmark study provides compelling evidence that grocery card benefits meaningfully improve healthcare engagement among Medicare Advantage dual-eligible beneficiaries. By addressing food insecurity—a critical social determinant of health—these supplemental benefits enable patients to focus on preventive care and chronic disease management.
The research supports continued investment in non-medical supplemental benefits and validates recent policy expansions allowing Medicare Advantage plans greater flexibility. As healthcare continues evolving toward value-based models that address whole-person health, evidence demonstrating the effectiveness of social support programs becomes increasingly crucial for shaping future policy and program design.
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