An Update On State Medicaid Behavioral Health Financing Models – An OPEN MINDS Market Intelligence Report

Medicaid financing and delivery of behavioral health benefits (mental health and addiction) are generally in one of five models:

Primary carve-out to managed behavioral health organization (MBHO) plan
All behavioral health in Medicaid fee-for-service (FFS) plan with physical health in Medicaid health plan
Behavioral health and physical health in Medicaid health plan
Behavioral health and physical health in Medicaid FFS plan
Vertical carve-out (physical & behavioral health) for consumer population with mental health/cognitive disorders plan

Since 2011 there has been a significant decrease in the number of states that have benefits managed through a primary . . .