Medicaid Redetermination 2023
As of April 1, 2023, Medicaid redetermination 2023 will start on a state level. The “Families First Corona Virus Response Act” established that anyone on Medicaid can not be re-certified every year. The Consolidated Appropriations Act of 2022 puts a firm end date to guaranteed continuous coverage as of April 1. There are an estimated 92 million people on Medicaid. Over 20 million have started Medicaid benefits in the last 2 years.
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Why is Medicaid Redetermination 2023 needed?
During the Coronavirus Pandemic the Families First Act put a moratorium on the states ability to recertify those on Medicaid. Many people lost their jobs during the pandemic. As a result of income loss, a large number of people applied for Medicaid. Under normal circumstances, the states would re-certify those on Medicaid every year. However, due to the Families First Act, a certification process was not enabled to check the qualifications of recipients on an annual basis. Many people who were able to find new jobs would have been taken off Medicaid due to the increase in income when they had to recertify. Because of this fact, an estimated 14 million people are currently receiving Medicaid benefits although they do not qualify based on income.
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The Consolidated Appropriations Act of 2022
For Medicare redetermination 2023 the CAA allows states to recertify those on Medicaid beginning April 1, 2023. Most states will not be able to immediately check everyone’s eligibility. Instead, many will start the normal annual certification process that was in place prior to the Families First Act stopping the process. However, there is a monetary incentive for states to move more quickly with this process. The enhanced federal funding rate of 5% ends in June of 2023. (It went from an extra 6.2% down to 5% in April of 2023) This means states will receive 5% less from the federal government toward the cost of those who receive Medicaid. In addition to the estimated 14 million that may no longer qualify, it is estimated another 6 million may lose coverage due to administrative churning. This refers to the possibility of administrative errors in the redetermination process for Medicaid Redetermination 2023.
Recertification process
The process for Medicaid Redetermination 2023 will not be a manual process for everyone. People with the lowest incomes as well as those who are disabled, can be passively renewed. This means they will not need to return any paperwork and will automatically keep Medicaid benefits. Those that are not passively renewed will receive recertification paperwork in the mail that must be completed and returned. If someone has moved without notifying the state, they may never receive that paperwork.