Working Paper: NBER ID: w29227
Authors: Alyce S. Adams; Raymond Kluender; Neale Mahoney; Jinglin Wang; Francis Wong; Wesley Yin
Abstract: Most hospitals and managed care organizations have financial assistance programs that aim to reduce financial burdens and improve health care access for low-income patients. We use administrative data from Kaiser Permanente to study the effects of financial assistance on health care utilization. Using a regression discontinuity design based on an income threshold for program eligibility, we find that financial assistance significantly increases health care utilization initially, though effects dissipate three quarters after program receipt. Financial assistance also increases the detection of and medication refills for treatment-sensitive conditions, suggesting financial assistance may increase receipt of high-value care.
Keywords: financial assistance; health care utilization; low-income patients; regression discontinuity design
JEL Codes: I1; I18
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Health care utilization (I11) | Detection of health conditions (I12) |
| Financial assistance (F35) | Detection of health conditions (I12) |
| Financial assistance (F35) | Health care utilization (I11) |