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Post-Mortem on the Medicaid Primary Care Fee Bump

The Affordable Care Act required state Medicaid programs to raise their fees for primary care services to the same level as Medicare rates, with the federal government shouldering the full cost of the difference.  The rationale for the increase was that with millions of additional Americans expected to enroll in Medicaid in the coming years, a rate increase would encourage more primary care physicians to serve Medicaid patients because historically, many choose not to do so because of what they believe to be inadequate payments.
That two-year Medicaid primary care fee bump ended on December 31, 2014.  Sixteen states and the District of Columbia felt the increase was beneficial enough to extend it using their own resources.  Pennsylvania is not among the states that continued paying the enhanced rates.
The question of whether the fee increase accomplished its objective and is worth re-establishing remains unanswered.  The brief nature of the experiment – only two years – and the delays many states experienced before they started paying the enhanced rates left little time for meaningful research.  One quantitative analysis suggests the rate increase helped, there have been several more qualitative approaches to research, and some studies remain under way.
Because they care for so many more Medicaid patients than the typical hospital, the adequacy of Medicaid payments has long been of special concern to Pennsylvania safety-net hospitals.
For a closer look at the Affordable Care Act’s Medicaid primary care fee bump, how it worked, its impact, and its future, see the new health policy brief “Medicaid Primary Care Parity” here, on the web site of the journal Health Affairs.
 

2015-05-15T06:00:54+00:00May 15th, 2015|Affordable Care Act, Pennsylvania Medicaid policy|Comments Off on Post-Mortem on the Medicaid Primary Care Fee Bump

PA Moves to Streamline Medicaid Provider Enrollment

In response to the challenges the state has encountered processing Medicaid provider enrollment applications, the Pennsylvania Department of Human Services (DHS) has unveiled what it believes will be an improved approach to tackling this problem.
The improvements include electronic enrollment, standardization of policies and procedures, and additional provider enrollment staffing.
At the heart of the backlog are Affordable Care Act requirements.
Go here to see a message from DHS acting secretary Theodore Dallas on this subject.

2015-04-23T06:00:08+00:00April 23rd, 2015|Affordable Care Act, Pennsylvania Medicaid laws and regulations, Pennsylvania Medicaid policy|Comments Off on PA Moves to Streamline Medicaid Provider Enrollment

States to Have New Reform Tool

Come 2017, states will have a new tool at their disposal through which to pursue health care reform.
At that time, states will be able to seek new state innovation waivers from the federal government that will enable them to change covered benefits and insurance subsidies; replace health insurance exchanges; modify the individual or employer mandate; and do other things so long as their efforts ensure continued access to comprehensive and affordable health insurance.  The waivers, created under the Affordable Care Act, are good for five years.
The Commonwealth Fund has published an issue brief that explains the section of the Affordable Care Act that includes state innovation waivers and outlines how states might use innovation waivers to customize health care reform for their own residents.  Find that issue brief here.

2015-04-22T06:00:50+00:00April 22nd, 2015|Affordable Care Act|Comments Off on States to Have New Reform Tool

New Pennsylvania Health Law Project Newsletter

The Pennsylvania Health Law Project has published its February newsletter.
This edition features articles on Medicaid expansion in Pennsylvania; problems posed by Healthy Pennsylvania for individuals who receive drug and alcohol or mental health services and how the state is addressing those problems; and the new, special enrollment period for those who are uninsured to sign up through the federal marketplace and avoid the fine for failing to secure health insurance.
The newsletter also lists upcoming state legislative budget hearings that will address health care issues and raises the possibility of the state establishing an Affordable Care Act-authorized “Community First Choice” program, which gives a state access to additional federal matching funds to pay for attendant services for Medicaid beneficiaries with severe intellectual or physical disabilities.
Find the latest edition of Health Law PA News here.
 

2015-03-13T06:00:18+00:00March 13th, 2015|Affordable Care Act, Healthy PA, Pennsylvania Medicaid policy|Comments Off on New Pennsylvania Health Law Project Newsletter

Administration Blocks No-Hospitals Insurance Plans

Health insurance plans that do not include hospital benefits fail to meet employers’ obligations under the Affordable Care Act and will leave companies that provide such insurance vulnerable to fines of $3000 a year for every worker covered by such a plan, the Centers for Medicare & Medicaid Services (CMS) announced last week.
But in recognition that some employers had arranged such coverage well in advance, the federal government is permitting companies that committed to such plans by November 4 to use them for the next year, after which they must be replaced.  In addition, employees who seek to compensate for that shortcoming in their coverage by purchasing supplemental insurance will be eligible for tax credits based on their income.
Such plans have been favored by many companies that employ large numbers of low-wage workers.
In a regulation issued last week, CMS wrote about health insurance without hospital benefits that

A plan that excludes substantial coverage for inpatient hospital and physician services is not a health plan in any meaningful sense and is contrary to the purpose of the MV [minimum value] requirement to ensure that an employer-sponsored plan, while not required to cover all EHB [essential health benefits], nonetheless must offer coverage with minimum value at least roughly comparable to that of a bronze plan offered on an Exchange.

For a closer look at the new regulation, why it was issued, and what it means for employers and their workers, see this Kaiser Health News article.  Find the regulation announcing the policy here.

2015-02-26T06:00:21+00:00February 26th, 2015|Affordable Care Act|Comments Off on Administration Blocks No-Hospitals Insurance Plans

472,000 Pennsylvanians Sign Up for Insurance

Nearly 472,000 Pennsylvanians enrolled in health insurance during the Affordable Care Act’s open enrollment period, which ended on February 15.
Pennsylvania State MapSome were new enrollees and some were automatically renewed; a breakdown is not yet available.
For a closer look at Pennsylvanians obtaining health insurance during the open enrollment period and the national picture, see this Central Penn Business Journal article.

2015-02-23T06:00:16+00:00February 23rd, 2015|Affordable Care Act|Comments Off on 472,000 Pennsylvanians Sign Up for Insurance

More That 400,000 Sign Up For Health Insurance in PA

Through early February, 430,000 Pennsylvanians have enrolled in health insurance plans through the federal health insurance marketplace.
Of that number, 81 percent qualified for at least some financial assistance with their premiums.  Through December, more than two-thirds obtained insurance for no more than $100.
To learn more about how Pennsylvanians are using the federal exchange to purchase health insurance, see this Central Penn Business Journal article.
 

2015-02-09T06:00:51+00:00February 9th, 2015|Affordable Care Act, Health care reform|Comments Off on More That 400,000 Sign Up For Health Insurance in PA

Medicaid “Pay Bump” Worked, New Study Suggests

A federally mandated increase in Medicaid payments for primary care services appears to have achieved its goal of improving access to care for Medicaid recipients – especially in Pennsylvania.
Doctor listening to patientThe increase, part of the Affordable Care Act, called for raising payments for Medicaid primary care services to the same level as Medicare payments in the hope that such an increase would lead more primary care providers to serve Medicaid patients, thereby improving access to primary care services for those patients.  Historically, primary care providers have been reluctant to serve Medicaid patients, citing low pay as their reason for avoiding such patients.
That Medicaid pay increase – often referred to as the “Medicaid pay bump” – was mandated for two years and expired at the end of 2014.  One of the reasons policy-makers resisted extending it was the lack of proof that it achieved its goal of improving access.  Now, a new study in the New England Journal of Medicine provides the first broad look at the program’s impact – and the first proof of its success.
In the study, researchers selected ten states and measured the availability and waiting times for primary care appointments for two limited periods of time.  They found that

The availability of primary care appointments in the Medicaid group increased by 7.7 percentage points, from 58.7% to 66.4%, between the two time periods.  The states with the largest increases in availability tended to be those with the largest increases in reimbursements, with an estimated increase of 1.25 percentage points in availability per 10% increase in Medicaid reimbursements.

Among the ten states evaluated in the study was Pennsylvania, where the benefits of the Medicaid pay bump were especially noteworthy:  while the availability of appointments rose eight percent overall in the states that were part of the study, appointment availability rose 13 percent in Pennsylvania.
One possible reason:  the Medicaid pay bump doubled Medicaid primary care fees.
The study’s conclusion?

Our study provides early evidence that increased Medicaid reimbursement to primary care providers, as mandated in the ACA, was associated with improved appointment availability for Medicaid enrollees among participating providers without generating longer waiting times.

Learn more about the study from this Allentown Morning Call article or find the New England Journal of Medicine article here.

2015-01-27T06:00:28+00:00January 27th, 2015|Affordable Care Act, Pennsylvania Medicaid policy|Comments Off on Medicaid “Pay Bump” Worked, New Study Suggests

Millions Live in ACA Coverage Gap

Nearly four million people who were supposed to be helped to health insurance through the Affordable Care Act remain uninsured today because they earn too much to qualify for Medicaid and not enough to qualify for the reform law’s health insurance subsidies.
Group of healthcare workersWhen the law was passed in 2010, it was supposed to provide Medicaid coverage for those earning up to 138 percent of the federal poverty level and offer subsidies to other low-income earners.  But when the Supreme Court made the reform law’s mandatory Medicaid expansion optional for states and some states chose not to expand their Medicaid programs, nearly four million people found themselves wedged between eligibility for Medicaid and eligibility for subsidies, with no help forthcoming.
Among the four million, more than half work at least part-time and two-thirds reside in a household with at least one wage-earner.  Most work for small companies that are not required to provide health insurance for their employees and many earn the minimum wage.  Many are single adults.
The coverage gap has been a problem in Pennsylvania, which until recently did not expand its Medicaid program.  As a result, many people who fell into this gap turned to the state’s safety-net hospitals when they needed care but had no health insurance.
The Washington Post has taken a look at the challenges these low-income and often medically vulnerable people face living in states that have chosen not expanded their Medicaid programs.  See its report here.

2015-01-26T06:00:19+00:00January 26th, 2015|Affordable Care Act, Pennsylvania Medicaid policy, Pennsylvania safety-net hospitals|Comments Off on Millions Live in ACA Coverage Gap

180,000 Pennsylvanians Turn to Exchange for Health Insurance

The federal government estimates that approximately 180,000 low- and moderate-income Pennsylvanians who earn too much to qualify for Medicaid have applied for health insurance through the federal health insurance exchange.
Nearly 80 percent of them are expected to qualify for some federal subsidies to help pay their premiums.  95,000 are first-time applicants.
Last year, 320,000 Pennsylvanians applied for insurance through the federal exchange.  About 60 percent did not have health insurance before doing so.
As a result, it appears as if more than 300,000 of the approximately 1.4 million Pennsylvanians who were uninsured at the time the Affordable Care Act’s insurance expansions took effect either now have such coverage or will soon have it.  This figure includes those newly eligible for Medicaid under the state’s Healthy Pennsylvania Medicaid expansion program.
Learn more about the various means through which previously uninsured Pennsylvanians are obtaining health insurance in this Harrisburg Patriot-News article.

2015-01-07T06:00:32+00:00January 7th, 2015|Affordable Care Act, Health care reform, Healthy PA|Comments Off on 180,000 Pennsylvanians Turn to Exchange for Health Insurance
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