ACA Impact on Medicare Beneficiaries Linked to Reduced Costs, Improved Health

AJMC January 17, 2025
Cameron Santoro

Key Takeaways

• Medicaid expansion under the ACA improved access, financial security, and economic benefits for states and providers.
• Adults entering Medicare post-ACA reported fewer chronic medication uses, hospitalizations, and out-of-pocket costs.
• Medicaid expansion states saw greater reductions in self-reported limitations and medical costs for adults aged 65 to 68 years.
• The study’s small sample size and limited claims data restrict statistical power and outcome assessments.
• Policy recommendations suggest maintaining subsidies and lowering Medicare eligibility age to enhance coverage.

The Affordable Care Act (ACA) led to reductions in out-of-pocket costs and improvements in health among adults entering Medicare.

Adults with low socioeconomic status who transitioned to Medicare experienced reductions in out-of-pocket medical costs and improvements in health under the...

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