Morning Briefing
Summaries of health policy coverage from major news organizations
Oregon Wrestles With High Drug Costs In Medicaid Program
In response to a raft of concerns, Oregon has withdrawn a request made to federal officials to restrict medicines covered by the state Medicaid program, which is currently required to provide coverage for all treatments. However, state officials are still seeking to exclude certain drugs from Medicaid when effectiveness evidence is lacking. By seeking a so-called closed formulary, the same approach to coverage taken by private health insurers, Oregon officials had hoped to lower expenses by only covering one drug for each therapeutic class.聽So far, though, only Tennessee has been granted a waiver to use a closed Medicaid formulary and the Biden administration is reviewing that decision, which was issued by the Trump administration. (Silverman, 2/28)
In other Medicaid news 鈥
Medicaid enrollees in Ohio can begin selecting from among a new slate of managed care plans beginning Tuesday. As part of the Ohio Medicaid Next Generation initiative, millions of enrollees in the government health care program for low-income Americans must choose from seven managed care plans or be assigned one. (2/28)
State Republicans have balked at expanding Medicaid, but are embracing legislation that would take advantage of the federal program to pay for healthcare for very sick incarcerated people 鈥 and likely create a money-making opportunity for nursing homes.聽Senate Bill 2448, which passed the Senate with little opposition and is now with the House Medicaid Committee, would allow 鈥渕edically frail鈥 inmates to be paroled to 鈥渟pecial care facilities.鈥 These would be specially licensed nursing homes where Medicaid could help pay for their care.聽(Taft, 3/1)
One House bill would make Georgia鈥檚 Medicaid managed care insurers face stricter requirements on how they spend their government dollars. There鈥檚 a second bill that has also captured their attention 鈥 an attempt to wrest control of patients鈥 prescription drugs from those health plans. House Bill 1351 would remove the function of the three managed care companies 鈥 Peach State, Amerigroup and CareSource 鈥 to oversee the dispensing of medication, instead placing it under state supervision. The goal of the bill is to improve care for patients and save the state money, said its lead sponsor, Rep. David Knight, a Griffin Republican. (Miller, 3/1)
North Carolina鈥檚 transition to managed care hasn鈥檛 yet proved to be the disaster some feared, nor the panacea others hoped for, according to a new survey from the coalition North Carolina for Better Medicaid. The organization includes two managed care organizations 鈥斅燞ealthy Blue and Unitedhealthcare 鈥 in addition to community groups, such as the YMCA and Mountain Projects, a community development non-profit that focuses on the western part of the state.聽The coalition worked with Health Management Associations, a national health care research and consulting firm, to design and implement the evaluation.聽(Donnelly-DeRoven, 3/1)
Also 鈥
Medicaid coverage swelled during the COVID-19 pandemic, with almost one in four Americans now covered by the health insurance plan for low-income people. But as many as 15 million people may be at risk of losing coverage this year as a pandemic rule winds down.聽Before the public health crisis, U.S. states regularly reviewed Medicaid recipients' eligibility to verify they still qualified for coverage based on requirements such as state residency and income. The latter varies by state, but is typically about 138% of the federal poverty rate. For instance, a single person in California can't earn more than $17,609 a year to qualify. (Picchi, 3/1)
If you or a family member gets health insurance through Medicaid, it鈥檚 a good time to make sure the state has your current address on file. During the public health emergency, states were ordered to stop regularly assessing whether members had become ineligible. Usually, that happens when a family鈥檚 income increases above a certain threshold. Once the emergency ends, the process will restart, and people who haven鈥檛 proven they鈥檙e eligible could lose coverage. (Wingerter, 2/28)