The Effects of Managed Care on Rural Health Care
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Public Health Departments
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According to the Center for Health Services Research at the University of North Carolina at Chapel Hill, Medicaid managed care in rural areas has led Medicaid recipients to use more private sector services and public health departments to lose revenue.
Local Control
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According to the "Western Journal of Medicine," a potential adverse impact of managed care on rural areas is the loss of local control of health care delivery. This is because most managed care organizations that operate in rural areas are headquartered in metropolitan areas.
Uninsured
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Since these organizations are also metropolitan in outlook, the fact that they bring providers to rural areas, may do the uninsured very little good since the managed care organizations may have very little empathy or understanding of rural areas.
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