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A carve-out is a Medicaid managed care financing model where some portion of Medicaid benefits—dental services, pharmacy services, mental health services, addiction treatment services, etc.—are separately managed and/or financed. For addiction treatment benefits, the benefits are often broken down even further into specific service categories, including emergency services for addiction disorders, inpatient detoxification, detoxification in a non-hospital based setting, outpatient services, residential treatment, and methadone maintenance. These benefits can be managed in the same financing and delivery system or each service can be provided through a different financing and delivery system arrangement.

The OPEN MINDS Market Intelligence Team conducted an analysis of the 50 state and District of Columbia Medicaid programs. The analysis determines the delivery system for inpatient detoxification, detoxification in a non-hospital based setting, outpatient services, residential treatment, and methadone maintenance. The report answers a number of questions, including:

  1. What Is A Medicaid Carve-Out?
  2. Which States Carve Addiction Treatment Benefits Out Of Medicaid Managed Care Contracts?
  3. What Is The Future Of Addiction Treatment Carve-Outs?

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