Last month I blogged about West Virginia’s proposal to implement “personal responsibility contracts” for Medicaid recipients. In essence, beneficiaries will be required to take some responsibility for their health, and those who don’t will be penalized with reduced benefits and coverage.
As controversial as they may sound, the federal government approved the state’s plan. Medicaid serves about 55 million people, and states should do all they can to prevent fraud and waste and help the most needy.
Now it appears more states are taking the initiative to reform the Medicaid system. From the Washington Post:
Kentucky is dividing its Medicaid patients into four categories, depending on their health and their age, with different benefits for each group. Most adults will face higher co-payments for medical services and new limits on prescription drugs. But patients who sign up for a “disease management” program eventually will be able to earn credits toward extra “get-healthy benefits,” such as eyeglasses or classes to quit smoking.
Florida, meanwhile, will privatize part of its Medicaid system in September…
Predictably, Republicans and Democrats disagree over how Medicaid should be reformed. Republicans tend to support budget cuts and more state control over the program, while Democrats generally support fewer cuts and more federal control. But overall, I think that encouraging beneficiaries to focus on preventive care and to seek only the care they need will save money. It’s a good policy that all states should adopt.
