A study commissioned by the Illinois Academy of Family Physicians (IAFP) and conducted by the Robert Graham Center found that the Illinois Department of Healthcare and Family Services (DHFS) saved $220 million through the Illinois Health Connect program.  Illinois Health Connect offers primary care physicians (PCPs) financial incentives to coordinate the treatment of Medicaid enrollees within a medical home setting.  The study found that, in FY2008 and FY2009, the program saved Medicaid $80 million and $140 million, respectively.  Additionally, the study found that a DHFS disease management program designed to help Medicaid beneficiaries with chronic conditions adhere to their prescription drug regimens saved the state over $300 million over three years.  The study also includes brief case studies of related programs in Indiana, Oklahoma, and North Carolina.

From the report:

The rise of primary care case management (PCCM) programs over the last two decades can be directly attributed to rising healthcare costs and the increasing burden of chronic disease in the United States. In an effort to rein in Medicaid spending, states have increasingly looked towards new models of healthcare delivery that emphasize coordination and efficiency in order to drive down inappropriate spending and improve healthcare outcomes. Recent trends in the American fiscal and legislative landscape have added new urgency to the search for improved delivery platforms covering the Medicaid population. With the economic recession, states are more pressed than ever to be efficient healthcare spenders, and with the passage of the federal Patient Protection and Affordable Care Act in March 2010, increased enrollment in publicly subsidized coverage plans will almost certainly add new strain to state budgets.

Full report: Illinois Health Connect - Your Healthcare Plus Case Statement (PDF | 137.74 KB)

Illinois Academy of Family Physicians and The Robert Graham Center. (2010). Illinois health connect - your healthcare plus case statement.