NASHP analyzed 63 Medicaid Managed Care Organization (MCO) contracts across 43 states and 9 Behavioral Health Organization (BHO) contracts in 9 states to understand how states are using Medicaid managed care to better integrate behavioral health and physical health services. The analysis focuses on three main policy levers: care coordination, quality measurement/accountability, and payment strategies.
States are increasingly using Medicaid managed care contracts to promote whole-person care by requiring stronger care coordination, measuring integration outcomes, and aligning payment systems with behavioral health and physical health integration goals. NASHP concludes that continued monitoring of these strategies will help states refine and strengthen behavioral health system reforms.