Primary Challenge: How New York Can Save Billions by Investing in Primary Care

This New York Primary Care Coalition report examines health care expenditures in New York State, and recommends investing in primary care to improve health outcomes and reduce costs.

High rates of hospital use, emergency department use, and readmission contribute to the mounting health care costs, which are in excess of $160 billion each year and continue to rise. The report suggests that New York State could save at least $10 billion by investing in primary care.

High rates of chronic disease and lack of effective primary care capacity often lead to high inpatient and emergency department use. Chronic diseases account for nearly 65% of New York’s health care costs. Counties with higher proportions of primary care providers have significantly lower hospital and emergency department use, as well as fewer surgeries. To help minimize health care costs, the report presents the following recommendations:

•  complete the reform of the Medicaid payment system for primary care;
•  preserve and expand primary care infrastructure and workforce capacity;
•  accelerate pilot testing and adoption of innovative care models, including the patient-centered medical home; and
•  expand and improve coverage.