how does a managed care model of mental health care reduce health care spending?

any thoughts please?

Please don't double-post questions.

http://www.jiskha.com/display.cgi?id=1211130886

That wasn't my intention. Some one who thought they were funny kept sending unprintable replies to everyones' posts and that was why I had to resend my question.

I couldn't find any good information online -- but in general managed health care systems save money by:

* fewer doctor visits
* less expensive and fewer medications
* fewer diagnostic tests
* less access to specialists
* more stringent requirements for emergency care

Thank you.

You're welcome.

The managed care model of mental health care can reduce overall healthcare spending in a few ways:

1. Cost-effective treatment: Managed care organizations (MCOs) implement strategies to ensure that patients receive appropriate, evidence-based treatments at lower costs. They negotiate with providers to establish discounted rates for services, prescriptions, and therapy sessions. By promoting cost-effective treatment options, MCOs aim to minimize unnecessary expenses.

2. Care coordination: In a managed care model, care is coordinated among different healthcare providers, including primary care physicians, mental health specialists, and other professionals. This coordination helps avoid duplicate tests, unnecessary hospitalizations, and conflicting treatments. By streamlining care, MCOs reduce redundant and wasteful spending.

3. Prevention and early intervention: MCOs prioritize preventive care and early intervention to mitigate the progression of mental health conditions. By investing in screenings, education programs, and access to mental health services in the early stages, they aim to prevent conditions from worsening and requiring more expensive treatments down the line.

4. Utilization management: Managed care models implement utilization management techniques to monitor and control the utilization of healthcare services. This involves regular review of treatment plans, authorization for specific services, and tracking of patient outcomes. By ensuring that care is appropriate and necessary, MCOs prevent unnecessary or excessive utilization of services, thus reducing overall healthcare spending.

5. Network management: MCOs usually have established networks of providers who offer services at negotiated rates. By guiding patients to seek care within these networks, MCOs can benefit from lower negotiated prices for services. By encouraging patients to utilize in-network providers, MCOs can control costs and reduce healthcare spending.

It's important to note that the effectiveness of a managed care model in reducing healthcare spending may vary based on specific factors like the structure of the healthcare system, local regulations, and the implementation of cost-saving strategies by the MCO.