California All-Payer Claims Database Releases First Report

June 28, 2023
Health Care Payments Data System will help policymakers and the public better understand the more than $400 billion spent annually on healthcare for Californians.

The new all-payer claims database (APCD) for the State of California has published its first public report. The Health Care Payments Data (HPD) System is intended to support greater healthcare cost transparency and will be used to inform policy decisions regarding the provision of quality healthcare, and to reduce healthcare costs and disparities.  

Released by the California Department of Health Care Access and Information (HCAI), the initial report – the Snapshot – provides a wealth of information about what data is available in the HPD System, including the number of Californians represented, types of healthcare coverage (e.g., commercial, Medi-Cal, Medicare) and most common procedures and prescription drugs. HCAI also is preparing to collect dental plan data in 2024. The HPD Program will help policymakers and the public better understand the more than $400 billion spent annually on healthcare for Californians.

Key milestones in coming months include the release of additional visualizations through the public reporting program and the launch of the data request process for non-public data.   

In 2018, the Legislature provided $60 million in one-time funding to establish the HPD Program. The HPD statute requires HCAI to submit a report to the Legislature on recommendations for long-term funding options for the program. On Feb. 28, 2023, HCAI submitted the required report to the Legislature, outlining the HPD Program’s accomplishments to-date, a plan for future spending, and recommendations on long-term program funding options. Several years of detailed healthcare data, starting with calendar year 2018, have been collected on services provided by California’s commercial health plans and insurers, Medi-Cal, and Medicare. An ongoing federal funding process has been established in collaboration with the Department of Health Care Services, covering approximately one-fourth of the total costs of the Program. Technical solutions for data collection, integration, and reporting have been implemented.

HCAI recommended that state policy makers support an annual total funds budget of $22 million for the HPD Program, including $15.4 million in state funds, starting with Fiscal Year 2025-26.

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