New Mexico Mathematica 2007

Quantitative and Comparative Analysis of Reform Options for Extending Health Care Coverage in New Mexico

By: Mathematica Policy Research and
Authors: Deborah Chollet, Su Liu et al.
Published: July 31, 2007
Financed by: Health Coverage for New Mexicans Committee
Legislation analyzed: The New Mexico Health Security Act

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The Health Security Act would generate the least new total cost for insuring all New Mexicans. The low estimated cost of the Health Security Act is due primarily to its low expected nonmedical cost. We estimate that expenditures under the Health Security Plan would be lower than expenditures in the current case (Figure 2). Because New Mexico Health Choices would layer new administrative costs over an essentially private system of insurance – and makes no provision for constraining private insurers’ nonmedical costs – it would be more costly overall than the Health Security Act or the Health Coverage Plan.