Centene CEO Sarah London says behavioral healthcare services are one of the areas where costs are growing the fastest.
In a June 27 interview with Bloomberg TV, Ms. London said the increase in behavioral care costs is partly due to an increase in demand. In contrast, she said emergency room visits among Medicaid enrollees have been on the decline.
"Within the Medicaid population, we've been seeing a suppressed level of emergency department visits, partly because that is historically where the adult Medicaid population would go for primary care," she said. "We've been able to redirect and reconnect them to primary care locations in a more convenient way, which is obviously a more cost-effective and high-quality way of getting care."
In the last month, large insurers have warned of mounting cost pressures driven by growing drug shortages, rising pharmaceutical costs and a higher utilization of services post-pandemic.
Humana and UnitedHealthcare said they anticipate medical loss ratios to be at the top end of full-year projected ranges.