Indianapolis Medicaid spending on Procedures / Professional Services climbs to $22,736,114 in 2024

In 2024, Medicaid providers in Indianapolis billed $22,736,114 for services within the Procedures / Professional Services category, according to figures from the U.S. Department of Health and Human Services Medicaid Provider Spending database. That represents a 9.4% rise compared to 2023, when billings for the same category totaled $20,773,730.

Medicaid, a public health insurance initiative operated by the states and funded jointly by state and federal governments, provides coverage for low-income individuals and families, seniors, children and people with disabilities. It is one of the nation’s largest health programs.

Fluctuations in local Medicaid billing, which is taxpayer-funded, highlight how public health care resources are distributed in different communities.

The Procedures / Professional Services category encompasses a variety of Medicaid-billed services, classified by specific care types using HCPCS and CPT code groupings. For this review, each billing code was consistently assigned to one category based on unified numerical ranges and prefixes. This approach helps group related services for analysis, eliminate duplicate counting, and maintain accurate category rankings over time.

Although there were increases in Medicaid spending across several categories, Procedures / Professional Services was the eighth-highest by total Medicaid payments in Indianapolis in 2024.

Statewide in Indiana, Procedures / Professional Services placed fifth among Medicaid payment categories by total disbursements in 2024.

Over the five years preceding 2024, Medicaid payments for Procedures / Professional Services in Indianapolis rose by $16,502,021, a jump of 264.7%. Notable spending increases occurred in some years, particularly in 2021 and 2023.

While spending within this category was distributed citywide, a small number of ZIP codes received the majority of the payments. In 2024, the ZIP codes with the largest shares of Medicaid spending tied to Procedures / Professional Services were 46205 with $9,179,912, 46204 at $3,565,304, and 46202 at $2,619,363. Combined, these 3 ZIP codes represented 67.6% of all such Medicaid payments in Indianapolis for the year.

In Procedures / Professional Services, a relatively small group of individual billing codes accounted for most Medicaid payments.

For contrast, local Medicaid outlays for Procedures / Professional Services rose 9.4% between 2024 and 2023, while all Medicaid claim categories in the city increased 13.8% during the same interval.

According to the Centers for Medicare & Medicaid Services, total federal and state Medicaid expenditures reached roughly $871.7 billion in fiscal 2023. This equaled about 18% of all national health costs and was up from $613.5 billion in 2019, before the onset of the COVID-19 pandemic.

The rise marks a nearly 40% increase in just a few years, largely attributed to expanded enrollment and greater service usage during and since the pandemic period.

Recent federal budget policies under the Trump administration have featured significant plans to curtail federal Medicaid contributions and change the program’s structure. The “One Big Beautiful Bill Act,” signed in 2025, is projected to reduce federal Medicaid spending by over $1 trillion over the next decade and adds measures such as work requirements and higher cost-sharing. These could decrease both coverage and funding for certain beneficiaries—shifting more of the financial burden to states and capping growth in federal Medicaid aid amid rising enrollments.

Note: HCPCS codes are shown for context within the category. Category totals and rankings in this article are based on standardized service groupings rather than individual billing codes.

Information in this article was obtained from the U.S. Department of Health and Human Services Medicaid Provider Spending database. The source data can be found here.