AI Article Synopsis
- This study analyzed data from the Medical Expenditure Panel Survey between 2006 and 2019 to evaluate how closing the Medicare Part D coverage gap affected older adults' mental health.
- By comparing mental health outcomes of Medicare beneficiaries to those with private insurance before and after the 2011 policy change, researchers found a notable improvement, indicated by a 0.447-point drop in the Kessler Index 6 (K-6) score.
- The improvement was particularly significant among women, Hispanics, and those with chronic conditions, suggesting that reduced out-of-pocket expenses played a key role in alleviating financial stress and enhancing mental well-being.
Article Abstract
Using Medical Expenditure Panel Survey data from 2006 to 2019, this study assessed the effect of closing Medicare Part D coverage gap on mental health of older adults. We employed difference-in-differences and compared mental health outcomes of older adults on Medicare with those on private insurance before and after the 2011 policy change. Findings showed a 0.447-point reduction in the Kessler Index 6 (K-6) score after closure. These findings were mainly attributable to women, Hispanics, individuals with multiple chronic conditions, and those in Traditional Medicare. A reduction in out-of-pocket (OOP) expenditures appeared to be the primary mechanism for this finding. Our analysis was robust to several specifications, including using different measures of mental health and alternate constructions of treatment and control groups. The closure of the Medicare Part D coverage gap improved mental health among beneficiaries, potentially by reducing financial strain associated with high OOP expenditures.
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| http://dx.doi.org/10.1177/07334648241290324 | DOI Listing |
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