Improving Babies Health and Reducing Medicaid

Improving Babies’ Health and Reducing Medicaid Costs

By Stephanie Begun
Vol . 20, No. 21 / June 2012

General Information

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States spend $200 billion a year on Medicaid.

Medicaid pays for about 40 percent of births, and is the largest payer of maternity-related care. About one in eight babies is born prematurely each year, a 36 percent increase in the last two decades. State governments pay millions for neonatal care for preterm births—before 37 weeks gestation—many of which are preventable. These babies have higher rates of serious complications including cerebral palsy, vision and hearing problems, and chronic lung disease.


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