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OBJECTIVES: To evaluate whether type and volume of Medicaid Home‐ and Community‐Based Services (HCBS) waiver program are associated with risk of hospitalization and whether this association changes over time.

DESIGN: Prospective.

SETTING: Indiana Medicaid claims data from June 2001 to December 2004.

PARTICIPANTS: Medicaid recipients (N=1,354) who enrolled in the Aged and Disabled waiver program between January 2002 and June 2004.

MEASUREMENTS: Time to hospital admission since enrollment in the HCBS waiver program, adjusted for demographics, comorbidities, prior use of health services, and volume of HCBS received, including attendant care, homemaking, and home‐delivered meals.

RESULTS: A greater volume of attendant care, homemaking services, and home‐delivered meals was associated with a lower risk of hospitalization. This effect diminished over time for …