Economic woes affecting Medicaid coverage

Published: Dec. 26, 2008 at 1:20 PM

WASHINGTON, Dec. 26 (UPI) -- Several U.S. states have begun reducing their offered Medicaid coverage due to the economic crisis throughout the nation, officials say.

Utah Medicaid director Michael Hales said 19 U.S. states have made cuts to their Medicaid offerings including ending coverage for certain medical procedures and expelling some recipients out of the healthcare program, The Washington Post said Friday.

Some states have also stopped paying for services that the federal government doesn't mandate Medicaid to cover. Among those services are hearing aids, hospice care and physical therapy.

Diane Rowland, Kaiser Commission on Medicaid and the Uninsured executive director, said such Medicaid cuts are due to increased pressure on related programs from the deteriorating economy nationwide.

The Post said a transition official for U.S. President-elect Barack Obama said the incoming administration is eyeing ways to assist states in their efforts to offer substantial Medicaid coverage.

© 2008 United Press International, Inc. All Rights Reserved.
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