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With millions of Americans newly unemployed or facing sharp income losses ([link removed]) , the need for Medicaid coverage is growing. Preliminary data for a subset of states show enrollment has risen by 6.6 percent since February.
If unemployment remains above 10 percent through the end of this year, non-elderly Medicaid enrollment will likely rise by 5 to 8 million people.
This growing need for Medicaid ([link removed]) coincides with a major state budget crisis ([link removed]) .
State budget shortfalls ([link removed]) are projected to total $555 billion, largely because revenues have fallen precipitously and will not recover until the virus is under control and economic activity rebounds.
Federal policymakers acted quickly in March to provide additional Medicaid funding and institute protections ([link removed]) that keep states from taking away coverage from current enrollees.
Even so, a number of states have made or are considering Medicaid cuts, including reductions in provider payments, reversals of planned and needed coverage improvements, and furloughs and hiring freezes impacting eligibility workers. This is on top of state cuts to their behavioral health programs, and, even in the midst of a pandemic, cuts to their public health budgets.
In the relief package that is expected to pass in coming weeks, federal policymakers must provide additional funds and maintain strong protections for Medicaid enrollees.
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** Additional Resources
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Contact: Caroline Anderson-Gray (mailto:
[email protected]?subject=CBPP%20Email%20Response) , 202-408-1080, Director of Digital Strategy
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