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LSS among contributors to new Medicaid Expansion Study

Published Sep 26, 2024
By: LSS Staff

The Wisconsin Policy Forum released a new study supported by Lutheran Social Services of WI and Upper MI along with American Cancer Society Cancer Action Network, Leukemia & Lymphoma Society, Community Care Services, Jewish Family Services, and the Wisconsin Medical Society. 

The report finds that expanding Medicaid in Wisconsin would add fewer enrollees compared to other non-expansion states but deliver significant fiscal benefits. While about half of the targeted group is already enrolled in Medicaid, the state could save $1.5 billion over the next two years.

These savings could be used for healthcare improvements, other priorities, or tax reductions. However, expansion would shift some residents from Affordable Care Act (ACA) marketplace plans to Medicaid, potentially reducing federal subsidies and reimbursement rates for providers.

Wisconsin’s partial Medicaid expansion in 2014 covered low-income residents but didn’t fully adopt ACA incentives. Full expansion could ass 72,000 to 92,900 enrollees, mainly benefiting rural areas. Providers could see lower reimbursement, but this impact could be mitigated if the state increased Medicaid rates using savings.

The report explores various policy options, including maintain the status quo, full Medicaid expansion, or adopting a non-traditional approach like other states. Moving forward would likely require bipartisan cooperation.

Click here to read “The Picture of Health? Considering Medicaid Expansion in Wisconsin.

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