Healthcare cost reductions nearly offset the full cost of the MTM benefit

Top Things to Know

MTM interventions can substantially reduce hospitalizations and emergency department visits among food-insecure patients with diet-sensitive chronic conditions.

Healthcare cost reductions nearly offset the full cost of the MTM benefit.

The greatest health and economic benefits were observed among individuals with cardiovascular disease, chronic kidney disease, diabetes, depression/anxiety, and high medical complexity.

Summary of Conclusion/Findings

This large quasi-experimental evaluation examined the impact of a medically tailored meals (MTM) benefit implemented through Massachusetts’ Medicaid Section 1115 demonstration program. The study compared 1,866 MTM recipients with 1,372 eligible but non-participating Medicaid members who had diet-related conditions and food insecurity, assessing healthcare utilization and costs from 2020–2023. MTM receipt (mean enrollment 6.7 months) was associated with a 31% reduction in hospitalizations, a 20% reduction in emergency department visits, and $3,433 lower healthcare costs per participant during the intervention period. Importantly, the healthcare savings offset approximately 98% of the MTM program costs, making the intervention nearly cost-neutral overall. The largest cost reductions were observed among participants with cardiovascular disease, chronic kidney disease, diabetes, depression/anxiety, and high overall medical complexity, with some subgroups generating net cost savings. Findings were consistent across multiple sensitivity analyses, alternative comparison groups, and negative control tests, providing strong real-world evidence that MTMs can improve outcomes while reducing healthcare spending among high-risk Medicaid populations.