Table 5.

Annual Hospitalization Rates per 1,000 Enrollees: Medicare Managed Care versus Fee-for-Service Medicare

	Marker	Ambulatory Care Sensitive		Acute ACS		Chronic ACS		Referral Sensitive
MMC	−2.23* (1.10)	−17.29** (4.56)	−12.54** (4.07)	−7.74** (1.81)	−5.93** (1.60)	−9.56** (2.89)	−6.61* (2.64)	−6.28** (2.30)	−4.06† (2.11)
OE Ratio			13.99† (7.72)		5.32† (2.91)		8.67† (4.82)		6.54* (3.27)
Marker Corrected	n/a	No	Yes	No	Yes	No	Yes	No	Yes
MMC* County* Yr	822	822	822	822	822	822	822	822	822

Cluster robust standard errors in parentheses

^†p < 0.10,

^*p < 0.05,

^**p < 0.01

Models control for county and year fixed effects, % Black, Hispanic, other race, female, Medicaid-eligible, ESRD, 75 – 84 and 84 and above enrollees. MMC coefficient is difference in rates of hospitalization per 1,000 MMC vs. FFS enrollees.

Marker corrected models control for the observed:expected ratio of marker hospitalizations, which proxies for unobserved health status (mean MMC OE = 0.91, mean FFS = 1.01, with values < 1 indicating better than expected health. better than 822 insurance type-county-year cells from 84 counties weighted by enrollment.

AZ, FL, NJ, NY State Inpatient Databases, Healthcare Cost and Utilization Project, Agency for Healthcare Research and Quality and Medicare data, 1999–2005.