President George W. Bush implemented a new Medicaid law in 2006 that will allow states to charge premiums and higher co-payments to Medicaid beneficiaries. (Kaiser Network)
Close to 13 million beneficiaries will be faced with paying new or higher co-pays. Consequently, some of these beneficiaries will delay certain care or avoid care. Under the new law, Medicaid is expected to save $1.4 billion for the federal government and $1.1 billion for the states over five years. An excerpt:
The rule allows states to implement a sliding scale for premiums and copays, the total of which cannot exceed 5% of a family’s income. Under the new rule, states in certain cases can deny care or coverage to Medicaid beneficiaries who do not pay their premiums or their portion of the costs for particular items or services. For Medicaid beneficiaries with incomes at or below the federal poverty level, states can require co-pays of up to $3.40 for a physician visit or other services.
Naturally, organizations like AARP and the American Academy of Pediatrics oppose the new rule.
According to a new study based on a mail-in survey of 800 pediatricians and family doctors, about one in 10 who give vaccinations for children with private insurance say they may drop the service because reimbursements are “too low.” A separate survey found “significant disparities” between expenditures and reimbursement. (Kaiser Network)
