HIT Consultant March 11, 2025
What You Should Know:
– A new analysis by the Urban Institute, supported by the Robert Wood Johnson Foundation, reveals that healthcare providers in 41 states that expanded Medicaid eligibility would face significant financial losses if federal funding for Medicaid expansion programs is cut.
– The potential drop in federal support could lead to nearly 11 million people losing health insurance coverage, triggering an $80B reduction in revenue for healthcare providers by 2026.
The Role of Medicaid Expansion
Under the Affordable Care Act, the federal government covers 90% of the costs of Medicaid expansion. This expansion primarily benefits working individuals with modest incomes who lack access to affordable employer-sponsored insurance.
Massive Revenue Losses and Increased Uncompensated Care
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