Insurers are paying for more integrated mental health services: 5 things to know

Use of the Collaborative Care Model for integrated mental healthcare has risen dramatically across Medicare, Medicaid and the commercial market since 2018, according to a report from consulting firm Milliman.
The Collaborative Care Model was developed in the 1990s, but was not formally recognized as a reimbursable service by CMS until 2018. The approach is designed to integrate mental health services into primary and specialty care. Milliman examined the volume of services, patients and providers using the model from 2018 to 2022 in traditional Medicare, Medicare Advantage,
Medicaid and commercial markets.
The report, published May 13, was commissioned by the Meadows Mental Health Policy Institute.
Here are five things to know:
- The number of providers participating in collaborative care increased tenfold for Medicare Advantage, from 568 to 5,660 providers. In the commercial market, this number increased by 6.9 times, and 8.6 times in Medicaid.
- The proportion of patients receiving collaborative care was highest in Medicare Advantage, where 65 out of 100,000 individuals received collaborative care in 2022. This number was lowest in Medicaid, where 32 out of 100,000 individuals received collaborative care services.
- Participation in collaborative care varied widely by geography. In more than half of metropolitan statistical areas covered by traditional Medicare, there was no use of collaborative care.
- Jackson, Mich.; Madison, Wis.; and Bellingham, Wash., had much higher rates of Medicare and MA beneficiaries participating in collaborative care models than the national average.
- Adoption of collaborative care was lower in rural areas across all insurance types, according to Milliman.
Read the full report here.
