Work Requirements and How They Can Impact Medicaid Beneficiaries
With new Medicaid work requirements, it seems millions of beneficiaries can be affected. Ten states are looking to rewrite the eligibility standards for Medicaid. The signing of the executive order calls for work requirements for those receiving Medicaid; states, such as Kentucky and Arkansas, are pushing forward. So what do these work requirements actually mean for Medicaid beneficiaries? How can this affect you? We will cover this and more as we take a deep dive into the Medicaid work requirements.
What Are Work Requirements
Some have related these work requirements to the 47,000 Minnesotans who lost food stamp benefits after work requirements were reintroduced for that program. Work requirements allow a person’s health coverage to be contingent on someone’s work status. Trump, who is allowing all states to have the option of work requirements, will put some at risk of losing coverage. Ultimately, these work requirements ask those who get Medicaid to work or look for a job, study for a high-school diploma, volunteer, and more. Although seen as cruel, these requirements hope to weed out able-bodied people who are considered lazy.
States and Who Can Be Affected
These requirements will save millions of Medicaid spending, but at what cost. With nearly 10 million of the 25 million adults on Medicaid not working, it’s important to find alternatives to the requirements to make sure those 10 million people aren’t left without a paddle. States that plan to impose conditions include Arizona, Arkansas, Indiana, Kansas, Kentucky, Maine, New Hampshire, North Carolina, Utah, and Wisconsin. Firstly, it is important to note this is the first time that any state has ever been able to get approval for imposing work requirements. Secondly, work requirements will only apply to “able-bodied” adults.
All-in-all, people will lose coverage like it or not. In Kentucky alone, it estimates that close to 95,000 people will no longer have Medicaid. States will have more money to spend on others who might need more coverage and other places. Work requirements may increase engagement and incentivize financial security, although nearly half of beneficiaries can lose coverage under work requirements. For this system to work, we will need to look at every possible outcome and decide if it’s the best plan. However, with the amount of people this can impact, we have to play it smart. For more on work requirements, visit here.