McKesson, Illinois Department of Healthcare and Family Services Report More Than $100 Million in Net Savings

HFS and McKesson launched the multi-disciplinary care management program to help disabled adult Illinois Medicaid beneficiaries; and children with asthma and their caregivers, who are part of the Family Health Medicaid program. Altogether, more than 220,000 Illinois residents are eligible.

“In just two years this integrated care management program has saved Illinois more than $138 million through hands-on care coordination, reductions in ED visits and hospital admissions,” said Emad Rizk, M.D., president, McKesson Health Solutions.

The $104 million savings was generated during the program year July 1, 2007-June 30, 2008. Your Healthcare Plus began July 1, 2006 and lasts three years.

“Your Healthcare Plus is not just saving money; it is helping people with chronic illnesses live fuller lives,” said HFS Director Barry S. Maram. “People are staying out of hospitals and emergency rooms because they are learning how to manage their diseases and stay healthy. It is important that we continue helping people avoid costly hospital stays if we want to continue to cut down on healthcare costs.”

During the program’s first year – July 1, 2006-June 30, 2007 – Your Healthcare Plus lowered inappropriate inpatient and emergency department admissions, and improved key clinical indicators to help HFS achieve a net savings of nearly $34 million after program fees.

“Your Healthcare Plus is that rare healthcare program that improves the health and wellness of our most vulnerable citizens, while creating a financial return for the state of Illinois. By creating a community-based program that coordinates the care of providers, clinics and hospitals, Illinois Medicaid beneficiaries have the opportunity to improve their health and wellness,” said Jim Hardy, senior vice president and general manager, McKesson Health Solutions.

In addition to the program’s net savings, McKesson and HFS also measure participants’ satisfaction with the program.

• 94% said their overall experience with DM program staff was positive.
• 92% said their overall experience with the DM program was positive.
• 97% indicated that they would recommend the program to a family member or friend.
• 96% said that they think more positively about HFS because of the program.

Your Healthcare Plus Overview

Registered nurses and other healthcare professionals use evidence-based guidelines to help Your Healthcare Plus beneficiaries suffering from any health condition learn new ways to manage their health. This helps participants manage any type of chronic illness, including asthma, coronary artery disease, heart failure, chronic obstructive pulmonary disease, diabetes, behavioral health conditions, end stage renal disease, HIV/AIDS, and other co-morbid conditions.

Your Healthcare Plus supports and encourages the physician/patient relationship, and a survey of providers reflects this. The program received high marks from Medicaid providers where nearly two-thirds who were surveyed reported that the program is useful to enrolled patients. Seventy percent of providers would recommend that eligible patients participate in the program.

About McKesson

McKesson Corporation, currently ranked 15th on the FORTUNE 500, is a healthcare services and information technology company dedicated to helping its customers deliver high-quality healthcare by reducing costs, streamlining processes, and improving the quality and safety of patient care. McKesson has been in continuous operation for more than 175 years, making it the longest-operating company in healthcare today. Over the course of its history, McKesson has grown by providing pharmaceutical and medical-surgical supply management across the spectrum of care; healthcare information technology for hospitals, physicians, homecare and payors; hospital and retail pharmacy automation; and services for manufacturers and payors designed to improve outcomes for patients. For more information, visit us at  www.mckesson.com.