MassHealth Fact Sheet – FY10 H.1 Care Management and Medical Homes Overview $10M investment and $25M savings The Care Management and Patient-Centered Medical Home Initiative seeks to create a more efficient and effective model of health care delivery that addresses three major health care system issues: 1) care fragmentation; 2) challenges associated with the increasing prevalence of chronic disease; and 3) a potential shortage of primary care physicians. Enhanced care management and the patient-centered medical home model have the potential to improve quality for members, while increasing efficiencies in care delivery and ultimately decreasing health care expenditures. Improved care coordination, through both an enhanced care management structure and medical homes, supports a reduction in care fragmentation and unnecessary use of services, and prevention of avoidable conditions. The Care Management and Medical Home Initiative will test a model to transform the quality of and payment for primary care practices in the Commonwealth. FY10 Policy Initiatives The Care Management and Medical Home initiative involves the development of an enhanced care management structure to meet the needs of high-cost members most likely to benefit from care management interventions. In addition, this initiative also implements a Medical Home demonstration at 50-100 PCC Plan primary care practices state-wide, with the intent to roll out the model more broadly in future years based on evaluation results. Investments will be made in training, infrastructure and financial support. The initial phase of the Medical Home demonstration will begin with PCC Plan enhancements for certain community health centers and primary care practices serving focus subpopulations: children in the custody of the Department of Children and Families and high-need members. The initiative will have a positive impact on members and primary care providers by improving the quality of care delivered and aligning payments to support enhanced care coordination. There may be a reduction in hospital and specialist use due to improved primary care and care management, but these specialty providers also benefit from improved care coordination.