Determine insurance coverage of the target market. Note Table $4\mathrm{.}3$ provides the payer

breakdown for MCMHC$.$ We want to know how much of our target market is covered by

insurance. Note self$-$pay patients, while accepted, would be a riskier basis for forecasting

revenues and volume. You can use the Adult category for ages $18-24($excluding

Medicare obviously$)$ and the Child$/$Family category for ages $12-17.$ You$$ll need to

determine what portion of your target population falls in each category before applying

the insurance rates. What is your new and final effective market size for this target

population? Table $4\mathrm{.}3(3$rd edition$)$

MCMHC Payer Mix and Percentage of Client Service Revenue by Program, Fiscal Year $2024$

Programs

Adult Child$/$Family Emergency Total

Payer $(\%)(\%)(\%)(\%)$

Self$-$Pay $5\mathrm{.}73\mathrm{.}53\mathrm{.}13\mathrm{.}7$

Commercial Insurance $15\mathrm{.}99\mathrm{.}613\mathrm{.}614\mathrm{.}5$

Medicaid $69\mathrm{.}186\mathrm{.}980\mathrm{.}476\mathrm{.}5$

Medicare $9\mathrm{.}302\mathrm{.}95\mathrm{.}3$

Total $100100100100$