From Mother Jones · Sophie Hurwitz · · 1m 20s
Private contractors profit as Medicaid cuts hit millions
Medicaid work requirements could strip coverage from 7.5 million Americans by 2034, report says.
In brief
Medicaid work requirements could strip coverage from 7.5 million Americans by 2034, report says. New Medicaid work rules may cause 7.5 million Americans to lose healthcare by 2034 due to verification failures. Originally reported by Mother Jones.
New Medicaid work rules
On January 1, new Medicaid work requirements will kick in nationwide, causing millions to lose healthcare access.
Contractors get contracts
States pay third-party contractors millions to design and operate systems for Medicaid eligibility under new rules.
Senate report names companies
Senate Finance Committee report identifies Maximus, Gainwell, General Dynamics, Conduent, and Deloitte as contractors for Medicaid work requirements.
Work requirements details
Able-bodied recipients under 64 must prove 80 hours monthly of work or activities to avoid losing coverage.
Georgia case study
Georgia enrolled only 7 percent of eligible adults in Medicaid after implementing work requirements in 2023.
Georgia costs
Georgia’s Medicaid program cost $54 million in administrative fees, double the $26 million spent on actual insurance coverage.
Arkansas and Michigan failures
Arkansas lost 17,000 coverage in four months in 2018 due to internet access issues; Michigan paused plans after projecting 80,000 losses.
Gainwell's issues
Gainwell faced $52.2 million billing failures in New York State, with Medicaid covering the costs.
Senate warning
Senators warn contractors may lose coverage due to system failures, not eligibility issues.
The one thing
New Medicaid work rules may cause 7.5 million Americans to lose healthcare by 2034 due to verification failures.
