ISSUE. Many states and stakeholders are seeking to control the rising cost of health care and increase its value. All-payer claims databases (APCDs) facilitate such efforts by aggregating data on health care services paid for by health insurers and public programs, thereby offering a broad perspective on cost, utilization, and quality of care. GOALS. Describe the uses and benefits of state-level APCDs as well as challenges to realizing their value, including data limitations and antitrust concerns. METHODS. Interviews with staff and stakeholders of eight diverse state-level APCDs, supplemented by a review of documentary evidence. KEY FINDINGS AND CONCLUSIONS. APCDs are used to: (1) report on health system spending, utilization, and performance; (2) enhance state policy and regulatory analysis; (3) inform the public about health care prices and quality; (4) enable value-based purchasing and health care improvement; (5) support public health monitoring and improvement; and 6) provide reliable data for health care research and evaluation. The benefits of state APCDs include raising awareness of the need for change; fueling data-informed policymaking; and generating knowledge for improvement. Fulfilling the purposes of an APCD requires cultivating relationships with stakeholders and learning how to effectively use data to meet their needs.
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