Medicaid reimbursement for mental health services varies widely across the United States, making it hard for many folks who need help to get it, a new study finds. Researchers found as much as a fivefold difference among states in Medicaid reimbursement rates. Even though Medicaid, the governmental health care program for low-income Americans, serves a population that is disproportionately affected by mental illness, many providers choose not to care for Medicaid patients due to low reimbursement rates. At the same time, a growing demand for help with depression, anxiety and substance use means many psychologists are unable to take on new patients, according to a 2022 American Psychological Association survey. Medicare, the federal health insurance program for American seniors, pays much more for mental health services, the study found. “We find that Medicaid reimbursement to psychiatrists for a common set of 20 frequently billed services varies across states and that on average, Medicaid pays about 80% of what Medicare pays for the same services,” said lead researcher Dr. Jane Zhu, an assistant professor of medicine at Oregon Health & Science University. Mental health services generally have low insurance acceptance rates, but this is worse in Medicaid, partly due to low reimbursement rates, she said. “Our study confirms that some states are setting these reimbursement rates quite low, which has implications not just for provider acceptance… read on > read on >

















