H.R. 700 cuts through Medicaid red tape; improves the stability continuity and quality of care
Texas Insider Rport: Washington DCA bill introduced today by Representatives Gene Green (D-TX) and Joe Barton (R-TX) H.R. 700 the Stabilize Medicaid and CHIP Coverage Act of 2015
would require state Medicaid and CHIP plans to provide 12 months of continuous enrollment for an eligible individual to reduce churn in the programs.
Patient churn results in interrupted care bad outcomes for patients and high administrative costs for hospitals and health providers" said Green. This legislation offers a sensible bipartisan solution that will stabilize coverage for beneficiaries and bring certainty and predictability to the system for states insurers and providers."
Recent studies have shown that the average Medicaid beneficiary is enrolled in the program less than 10 months of the year; non-elderly adults are enrolled only about eight and a half months of the year. Frequently beneficiaries churn from the program owing to small temporary changes in income or are removed because of bureaucratic issues that bear no relation to their underlying eligibility. Gaps in coverage that arise from churn can lead to poorer health outcomes and expensive trips to the emergency room.
This bipartisan legislation is a win-win" said Rep. Barton. Medicaid and CHIP provide coverage for millions of families and this bill will help deliver the continuous care they need. At the same time cutting down on churn will reduce administrative costs and ultimately save taxpayers money."
Churn also raises administrative costs for hospitals and health providers and interrupts care. It leads to higher costs which are largely borne by taxpayers: a study found the average monthly medical expenditure for an adult enrolled in Medicaid for 12 continuous months to be half the level of a person enrolled for just one month.
H.R. 700 would address many of the issues associated with churn by providing 12-month enrollment periods in Medicaid and CHIP.
