Alaska has witnessed a decline of more than 14,000 individuals covered by Medicaid since April, following the conclusion of federal protections implemented in response to the COVID-19 pandemic.
This number is anticipated to rise as the state continues the process of re-evaluating eligibility, a process that was halted during the national emergency declaration.
Alaska’s Medicaid Coverage Declines
The reduction in Medicaid coverage is attributed to the Alaska Health Department’s ongoing efforts to address a backlog of new Medicaid applicants that accumulated within its Division of Public Assistance over the past year.
In the face of these challenges, the federal Centers for Medicare and Medicaid Services has expressed concerns about the state’s processing rate and its impact on equitable access to care.
The federal government has highlighted potential delays in determining eligibility and is specifically worried about processing times and call center performance.
Alaska, Florida, Montana, New Mexico, and Rhode Island are the only states lagging behind in all assessed categories.
The suspension of Medicaid eligibility checks, known as “redeterminations” or “renewals,” at the onset of the pandemic further complicates the situation.
These checks are essential to determine continued Medicaid eligibility based on income and other factors.
The state has commenced processing approximately 19,000 out of the 260,000 redeterminations required within the next year and a half.
Shockingly, nearly 30% of reported redeterminations resulted in Alaskans losing coverage due to paperwork-related issues, indicating a breakdown in communication.
The consequences of these challenges are visible as Medicaid enrollment in Alaska has declined from 264,649 in April to 250,251 by the end of July.
This decline is attributed, in part, to redeterminations and the state’s efforts to address its backlog.
Deb Etheridge, Director of the Division of Public Assistance, acknowledges that these challenges have been exacerbated by understaffing and outdated computer systems.
Etheridge is collaborating with a data consultant to identify and address the root causes of these challenges.
Despite these hurdles, Etheridge emphasizes that the Division of Public Assistance is striving to minimize the number of procedural closures that result in individuals losing coverage.
They have implemented proactive measures, such as outreach to individuals before closures and extending deadlines for late paperwork submission.
To combat these issues, the state is increasing its workforce by creating 15 new full-time positions for managing Medicaid renewals, a move supported by Governor Mike Dunleavy’s budget bill.
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Strides Forward Amid Challenges and Commitment to Healthcare Access
While the federal government’s concerns highlight the intricacies of the Medicaid renewal process in Alaska, Etheridge asserts that the state is making headway in its post-pandemic Medicaid renewals and remains committed to ensuring that Alaskans have access to healthcare services and accurate information about their eligibility.
Amidst these challenges, Alaskans who no longer qualify for Medicaid are entitled to appeal and seek a fair hearing.
Additionally, those who lose Medicaid coverage are automatically transferred to the federal marketplace to explore health insurance options.
As Alaska grapples with processing backlogs, eligibility redeterminations, and the importance of maintaining healthcare access, it remains clear that addressing these complexities is a multifaceted endeavor that requires collaboration, modernization, and a commitment to the well-being of Alaskans.
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