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Emergency Department Case Study

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RAND highlighted the need for some financial incentives to decrease emergency department use, even if a small amount. With the differential coinsurance system, the greatest and only statistically significant change in usage occurred between 0% and 25% (p < 0.01), indicating that even a small financial payment from individuals for emergency department usage could decrease the strain these visits place on providers (Manning et al., 1987). While RAND did not explicitly use the term Medicaid, we used the 0% coinsurance category as a Medicaid equivalent, due to the no to low cost copays, and based our recommendations from this category. By creating a financial component to emergency department usage only, while still keeping no copay for primary

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