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Maggie Kozel, M.D.

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Medicaid Cuts: A Misguided Journey Back to the Future

Posted: 07/15/11 11:32 AM ET

I spent my formative years as a pediatrician in the U.S. Navy, and so it happened that I was a seasoned pediatrician of nearly 10 years before I had my first experience with Medicaid. I left the Navy for civilian practice in 1990. Moving from the military system of universal coverage to our civilian two-tiered health care system of haves and have-nots was a harsh culture shock.

When I first began working at Narragansett Bay Pediatrics in Rhode Island, we were one of the few practices that accepted Medicaid; the program's low reimbursement rates drove most practitioners away. As a result, many children in Rhode Island with Medicaid coverage, or who were otherwise uninsured or underinsured, simply did not have a medical home. They were not receiving preventive services or early intervention for medical conditions, and were using the emergency room as their portal to our health care system. I witnessed this situation change seemingly overnight in 1997 with the introduction of SCHIP (now CHIP). This expanded Medicaid program covered more children and offered improved, if still low, physician payments. I watched as the doors to quality pediatric care opened to poor children across the state.

My personal experience was confirmed by national data. A study published in the journal Pediatrics in 2002 showed that children enrolled in CHIP where more likely to be receiving well child care, dental care and immunizations than were uninsured children, and -- attention taxpayers -- they were less likely to receive care in an emergency room. Another study in 2006 demonstrated that health care gains for publicly insured children as opposed to the uninsured increased with the number of health risk factors the child had; the more vulnerable children were experiencing the greatest benefits.

Back here in Little Rhody, we have good data to support our ongoing commitment to public insurance programs. In our state, only one in four hospital admissions for Medicaid/CHIP enrollees are emergent, as opposed to eight of ten admissions for the uninsured. And only 10 percent of hospital admissions were deemed preventable for enrolled children, compared to 22 percent for uninsured children. Our system for getting poor children appropriate care in a timely fashion is working. We need to focus our attention now on optimizing these kinds of cost-saving improvements.

It is painful to imagine a scenario in which we would take a step backward from these gains. This is why the current movement in Congress to reduce Medicaid funding is as misguided as it is alarming. The American Academy of Pediatrics, in a recent letter to its members, estimated that if proposed Medicaid reductions are carried out, approximately 300,000 children nationally will lose their insurance. Compounding this loss is that with reduced federal funding, many states, including Rhode Island, will have to further cut physician fees, resulting once again in limited access to providers, even for those children who continue to have coverage.

According to a recent AAP survey, a pediatrician in RI can expect a Medicaid payment in the range of $27 to $37 for a preventive (well-child) visit -- an amount that may not even meet overhead expenses much less generate income. Reducing these payments further will bring us back to the days when physicians in private practice found it financially unsustainable to see large numbers of Medicaid patients. It will mean a return to the days when poor children's only options were to delay care as long as possible, and then beat a path to the local ER. Ethical questions aside, delayed, uncoordinated health care only ends up costing the taxpayer more in the long run.

We should be refining and bolstering our Medicaid system, not chopping it. We can -- and need to -- provide smarter, more cost-effective, quality-driven health care for everyone. Our nation desperately needs rational, sustainable health care reform. We cannot afford to be distracted from those serious efforts by simplistic, politically driven measures -- like cutting Medicaid -- that only cause harm and suffering without saving us anything.

 
 
 

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I spent my formative years as a pediatrician in the U.S. Navy, and so it happened that I was a seasoned pediatrician of nearly 10 years before I had my first experience with Medicaid. I left the Navy ...
I spent my formative years as a pediatrician in the U.S. Navy, and so it happened that I was a seasoned pediatrician of nearly 10 years before I had my first experience with Medicaid. I left the Navy ...
 
 
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HUFFPOST SUPER USER
Shifu
Train and be ready
11:49 AM on 07/16/2011
We will never have universal health care as long as the Baggers believe the pithy pearls of idiocy coming from the mouths of Palin/Bachman/Limbaugh etc. They are an example of how horrible these faith based colleges are and how much damage someone can do with a terrible education and a loud mouth.
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wayne the pain
09:14 PM on 07/15/2011
Obama cheerleaders are now saying his offer to cut Social Security and Medicare was a "ruse" to sucker the Rebublicans. After maintaining three wars, wealthy tax break extension, Patriot Act extension, no public option health care, no prosecution of war crimes or Wall Street criminals leads many of us on the left that he was more than willing to start the destruction of these programs!
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Maggie Keavey Kozel
07:48 AM on 07/17/2011
I am pessimistic that the drive towards an intelligent, cost-effective health care system will be led by any politician. Such reform requires commitment and a long range view that doesn't mesh well with the election cycle. Our only hope is a gathering swell of noise from the voters. This includes doctors no longer staying quiet about political issues, but making their voices heard. Its not our battle alone, but we hold a lot of the ammunition.
09:12 PM on 07/15/2011
While I totally agree with everything that you have said, there is an elephant in the room. It's not really about cutting Medicaid for fiscal reasons, it's about keeping poor people poor. When you use that as your starting assumption, all the anti-abortion legislation and other public health attacks make sense.

Another component that I hear when discussing healthcare with people who are against using tax dollars to fund any costs, is people's preconceived and sometimes racists biases about who is getting care; who pays for it - and who does not; and what will happen to people without care. In other words, many people think that (people of pet-issue ethnicity) are getting something paid for by the person's group, or non-ethnic peoples (White), and that they "free-loaders" do not pay taxes and will just vanish if left unaided. You did a great job of stating that people left unaided, walk into ERs and require costly chronic care, but the racial component makes this later point unaddressable though reasoning. Healthcare will have to be improved without the approval of factions. The positive impacts will hopefully have an affect on people's understanding of the world, as hard-times breeds hate.
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healthcarenow
RN 4 blue Arizona
02:05 PM on 07/15/2011
Dr. Kozel should run for office, she speaks from experience, and actually has human values.
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Maggie Keavey Kozel
07:50 AM on 07/17/2011
Thanks, but I blush too easily:) I'm better on paper.
01:54 PM on 07/15/2011
Have and have not. Isn't that the same as earn and don't earn?
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97034Leftofcenter
04:07 PM on 07/15/2011
Ever heard of inheritance?, that is "a have" without necessarily "an earn" look at the #of the Forbes 400 who inherited their wealth.
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Maggie Keavey Kozel
05:09 PM on 07/15/2011
I suppose it is. As far as why some people are earning and others aren't, that's a tangled issue that has as many reasons as there are people living in poverty. I am not sure any of that is relevant to this discussion though. Is there a moral imperative to care for the poor, the elderly, the developmentally disabled ? I can't answer that for you, but I personally feel strongly that there is. And if we are going to offer health care to the most impoverished or vulnerable among us, shouldn't we do it in the most cost-effective way? These questions, not semantics, are the ones worthy of our serious consideration.
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01:47 PM on 07/15/2011
If they would stop the cheaters we wouldn't need a cut. Are there are too many collecting disability payments and medicaid while working under the table? Are there are too many collecting food stamps and selling them for drugs? If only there were a way to be more selective in who is getting taxpayers' money, we wouldn't be in this mess.
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Maggie Keavey Kozel
05:33 PM on 07/15/2011
Boy, if I had the chance to go after cheaters, I would start with the (still very wealthy) financial cheaters who caused so much pain and heartache to our country over the past two years. If I wanted to go after disability cheaters, I would go after people like the RI firefighters who have been raiding the tax payers' coffers for decades, and who only now are being investigated. As far as Medicaid enrollees, they don't amount to the tiniest blip on this radar screen.
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Vermilionphoenix
01:30 PM on 07/15/2011
Get rid of the child tax credit and put that money into insurance for those children.
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Maggie Keavey Kozel
05:34 PM on 07/15/2011
You will have to convince me that those numbers add up. Sounds like robbing Peter to pay Paul.
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Awake-and-Sing
named after a great play written by Clifford Odets
01:25 PM on 07/15/2011
Or we could join the rest of the civilized world and have universal health care.
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Maggie Keavey Kozel
05:23 PM on 07/15/2011
I believe that universal health coverage, designed to meet our health care needs, with special interests kept at arms length, would move this country forward socially, economically, and, oh yes, in the quality of our health.
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Awake-and-Sing
named after a great play written by Clifford Odets
05:59 PM on 07/15/2011
Couldn't Medicaid be transformed into a national public health insurance option open to everyone, regardless of age or existing health insurance plan, based on ability to pay?

Wouldn't younger, healthier consumers flee their overpriced for-profit insurance plans and bring dollars to Medicaid?
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Brian Novotny
What happened to Democracy?
11:07 AM on 07/15/2011
Wait till the bill comes due if we cut medicare and medicaid. Everyone who thinks it is a good idea will be priced out of insurance so fast their heads will spin as medical costs will go up astronomically. You get what you pay for, and what you don't pay for. It is incredibly irresponsible to do such a thing, reforms are in order, but drastic cuts will lead to drastic results. Every action has an equal and opposite reaction, remember that!
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Maggie Keavey Kozel
05:25 PM on 07/15/2011
I agree. Cutting, rather than improving health care delivery to the poor and elderly is penny "wise" but absolutely pound foolish.