Medical Care
Harnessing State APCDs for Healthcare Insights
2024-12-05
State All Payer Claims Databases play a crucial role in providing valuable insights into our healthcare system. These databases offer a wealth of information that can help policymakers, regulators, and various stakeholders make informed decisions. With the ability to monitor coverage, utilization, and costs across different payer groups and time periods, APCDs are a powerful tool for understanding and improving healthcare. As of now, at least twenty-one states have established APCD programs at different stages of maturity. As more states invest in APCDs, it is essential to learn from peer states and address local data needs. The federal government also has a significant role to play in enhancing the utility of APCDs and building state capacity for healthcare market oversight. This brief presents a blueprint and recommendations for establishing, supporting, and improving APCDs.
Unlock the Potential of APCDs for Better Healthcare
Monitoring Healthcare with APCDs
APCDs enable the monitoring of health care coverage, service utilization, health needs, and cost trends across Medicaid, Medicare, and commercially-insured populations. This comprehensive view allows for a better understanding of how the healthcare system is performing and where improvements are needed. For example, by analyzing data from APCDs, policymakers can identify areas where coverage gaps exist and take steps to address them. They can also track changes in service utilization over time and assess the impact of different policies on healthcare costs.Another aspect is the ability to monitor health condition prevalence and outcomes. APCDs provide valuable information on disparities in health conditions and help identify areas where interventions are needed to improve health equity. This data can be used to develop targeted strategies to address specific health issues and ensure that all populations have access to quality healthcare.Identifying Health System Inequities
APCDs are instrumental in identifying inequities in health system access and use. By analyzing data on service utilization and coverage, policymakers can identify populations that may be facing barriers to accessing healthcare. This information can be used to develop targeted outreach and enrollment efforts to ensure that everyone has equal access to necessary services.In addition, APCDs can help identify disparities in health condition prevalence and outcomes. By comparing data across different payer groups and regions, policymakers can identify areas where certain populations are at a higher risk of developing certain conditions or experiencing poorer health outcomes. This information can be used to develop targeted interventions and improve health outcomes for these populations.Supporting Regulatory Oversight
APCDs play a crucial role in supporting regulatory oversight of payers and providers. They provide valuable information on network adequacy, mental health parity, and the cost impact of industry consolidation. This data helps regulators ensure that payers and providers are meeting their obligations and that the healthcare system is operating efficiently.For example, by monitoring network adequacy, regulators can ensure that patients have access to a sufficient number of providers within their network. This helps prevent patients from having to travel long distances to receive necessary care and improves access to healthcare. APCDs also provide information on mental health parity, ensuring that patients with mental health conditions receive equal coverage and treatment as those with physical health conditions.Identifying Health System Failures
APCDs are valuable in identifying health system failures such as coverage disruptions, excessive cost growth, service price variation, and preventable emergency department visits. This information helps policymakers and healthcare stakeholders develop appropriate policy responses to address these issues.For instance, by identifying coverage disruptions, policymakers can take steps to ensure that patients have continuous coverage and avoid gaps in care. Excessive cost growth can be addressed by analyzing cost trends and identifying areas where costs can be reduced without compromising quality. Service price variation can be monitored to ensure that patients are not being charged significantly different prices for the same services. Preventable emergency department visits can be reduced by addressing underlying health issues and improving access to primary care.Providing Information for Decision Making
APCDs provide purchasers, payers, and consumers with health service cost and quality information to make informed health coverage purchasing and network design decisions. This data allows these stakeholders to compare costs and quality across different providers and plans and make choices that are in line with their needs and preferences.For example, purchasers can use APCD data to negotiate better contracts with providers based on cost and quality metrics. Payers can use this information to design more cost-effective networks and ensure that patients are receiving high-quality care. Consumers can use APCD data to make informed decisions about their health coverage and choose plans that offer the best value for their money.As APCDs spread nationally, it is essential that the federal government takes steps to enhance their utility and build state capacity. This includes establishing national APCD data standards, procuring a national claims data clearinghouse and centralized analytic infrastructure, providing structured financial support for State APCDs, and establishing APCDs in alignment with best practices. By doing so, the federal government can ensure that APCDs are used to their full potential and contribute to the improvement of healthcare across the country.Click here to read the full recommendations. The paper was authored by The Leukemia and Lymphoma Society and Manatt Health with support from Arnold Ventures and the input of state APCD agency leaders.i Manatt Health analysis of information provided by the APCD Council and via interviews with APCD Council co-chairs Norm Thurston and Jo Porter.