Grocery Card Benefits in Medicare Advantage Linked to Greater Outpatient Care Use
Key Clinical Summary
- Study Population: Dual-eligible adults enrolled in 55 Elevance Health–affiliated Medicare Advantage plans offering grocery card benefits in 2022.
- Key Findings: Users of the grocery card benefit had higher rates of annual wellness (+6.6%), PCP (+4.9%), and specialist visits (+6.6%).
- Implication: Nonmedical supplemental benefits, such as grocery cards, may improve preventive care utilization among low-income beneficiaries.
A new study published in The American Journal of Managed Care found that Medicare Advantage (MA) members who used grocery card supplemental benefits had higher rates of outpatient visits. The observational analysis, based on Elevance Health claims data, provides emerging evidence that addressing social needs—specifically food insecurity—may positively influence health care utilization.
Study Findings
Using 2021–2022 MA claims data, researchers evaluated 80 352 dual-eligible adults aged 18 to 89 years across 19 states continuously enrolled in 55 Elevance Health dual-eligible special needs plans (D-SNPs). In 2022, most participants were eligible for $50 per month in grocery benefits.
Among 60 697 participants who used the grocery card, the likelihood of annual wellness visits rose by 6.6%, primary care provider (PCP) visits by 4.9%, and specialist visits by 6.6% compared with nonusers. The number of office and specialist visits increased by 2.3% and 2.8%, respectively (all P < .05).
Frequent users—those spending more than half their grocery card allowance—experienced slightly larger gains in visit likelihood (8.4% for wellness and 7.0% for specialist visits) and a 3.1% increase in specialist visit volume. Although inpatient and emergency department utilization did not differ significantly, there was a marginal decline in inpatient admissions among frequent users (–4.1%, P = .061).
The study used adjusted difference-in-differences regression models, controlling for demographics and state-level factors, to minimize bias between users and nonusers.
Clinical Implications
The findings suggest that nonmedical benefits designed to mitigate food insecurity can promote preventive and outpatient care engagement among dual-eligible beneficiaries. These individuals often face barriers to accessing consistent primary and specialty care due to limited income and social deprivation.
Regular PCP and specialist visits are essential for managing chronic conditions and preventing costly emergencies or inpatient care. The observed increase in outpatient visits—particularly among high-frequency grocery card users—indicates that supplemental benefits addressing social determinants of health may indirectly enhance care continuity and disease management.
Although causal relationships cannot be confirmed, this analysis supports the Centers for Medicare & Medicaid Services’ policy expansions in 2019–2020 that allowed MA plans to offer nonmedical supplemental benefits, such as food and transportation assistance. Longer-term data are needed to determine whether such benefits reduce acute-care use or improve clinical outcomes.
Conclusion
This large observational study demonstrates that Medicare Advantage grocery card benefits are associated with modest but meaningful increases in outpatient care use among dual-eligible beneficiaries. As MA plans continue to expand nonmedical supplemental benefits, addressing food insecurity may serve as a viable strategy to promote preventive care and improve population health outcomes.
Reference
Cobb R, Cullen D, Nguyen Locke MN, et al. Dual-eligible beneficiaries’ grocery supplemental benefit use and health care utilization. Am J Manag Care. 2026;32(2):In Press. Published online ahead of print October 23, 2025. Accessed November 6, 2025. https://www.ajmc.com/view/dual-eligible-beneficiaries-grocery-supplemental-benefit-use-and-health-care-utilization
