Good news on Medicaid costs, but big problems with transportation

At Friday’s Medicaid Council meeting, DSS reported that per person costs in CT’s Medicaid program continue to provide relief to the state’s budget, dropping 1.6% from FY 2016 to 2017. Over the last five years, per person costs in the program are down 3.4%. In FY 2016 Medicaid consumed 22.7% of our state budget, compared to 28.7% nationally. Comparing apples to apples, CT’s administrative costs are well below the US average, largely because we don’t use capitated managed care organizations. Medicaid is not the problem in CT’s state budget, it is the bright spot.

Unfortunately, the news about Medicaid’s new transportation contractor, Veyo was not good. Responding to many complaints, DSS acknowledged that there are problems. Veyo claimed that things are getting better, that wait times are down to three minutes, but several Council members related personal experiences of far longer waits. Only one sanction of $1,000 has been levied against Veyo so far – there is a grace period in the contract that ends in a few weeks. We will see if DSS is willing to enforce the contract after that point. They have worked out a corrective action plan but Council members expressed doubts. In response to a question, DSS says they have no Plan B, repeating that they are committed to making it work with Veyo.

CTNJ: Poll says Healthcare, Insurance Costs Threaten Connecticut’s Standard of Living

Connecticut voters are worried about healthcare costs and don’t believe state government is doing enough, according to a new poll. Almost half of Connecticut voters named healthcare and insurance costs as a major problem in maintaining their current standard of living. Half of Connecticut voters also think the state doesn’t spend enough on Medicaid Read more

Poll of CT voters finds healthcare/insurance costs threaten their standard of living, that CT doesn’t spend enough on Medicaid and healthcare

A new poll of Connecticut voters for SEIU finds 46% cite healthcare/insurance costs as a major problem they face in maintaining their current standard of living. Behind only local property taxes, health costs are cited as a major problem by more voters than state income or sales taxes, housing costs, low wages, unemployment, personal debt, child care or transportation costs. 24% of voters find healthcare/insurance costs a minor problem and 29% say it isn’t a problem. Healthcare/insurance cost problems are worst for New Haven/Litchfield area voters (57%) and lowest in eastern Connecticut (34%). Half (49%) of Connecticut voters think the state doesn’t spend enough on Medicaid/healthcare; only 11% believe the state spends too much. This level of support is behind pensions, public transportation, higher education, and K-12 education. 41% believe that cuts to Medicaid/healthcare will have a negative impact on them or their family.

Medicaid Study Group makes long term policy recommendations to preserve, build on Medicaid success

Since moving away from capitated managed care plans in 2012, Connecticut’s Medicaid program has enjoyed enormous success. Per capita spending is actually down, making Connecticut the best performing state in the US at controlling costs. Even better, those savings were achieved while Connecticut also made enormous strides in expanding provider participation in the program, access to care, and quality improvement. However, this progress is fragile. Ongoing state budget pressures and uncertainty at the federal level threaten achievements. A new state administration next year offers both concerns and opportunities to continue and expand our progress into the future.

The Medicaid Study Group, a collaboration of independent consumer advocates, is offering state policymakers a set of recommendations to both protect the progress we’ve made to date and to build on those efforts to benefit both consumers and taxpayers. Recommendations cover regulation and limits on risky, failing payment models, strong program evaluation, consumer education, data-based policymaking, strengthen Medicaid oversight leadership, limits on burdensome, pointless waivers, and strong Conflict of Interest provisions to protect competition.

CT Health Reform Dashboard – growing concerns

Mirroring the latest CT Healthcare Thoughtleader Survey, this month’s CT Health Reform Dashboard gives our state low marks. State budget constraints, ethics lapses, poor leadership and lack of accountability continue to plague the state. Inexplicably, despite dwindling resources, the state’s Medicaid program is jeopardizing hard-fought progress by doubling down on an untested, risky payment model without evaluation that other states are moving away from. Thankfully, the Health Care Cabinet has made meaningful policy recommendations to control drug costs. CT Health Reform Dashboard

For first time, no CT insurers exceeded ACA medical payment standards in 2016

According to CMS, in 2016 Connecticut for the first time since passage of the Affordable Care Act (ACA), no insurers were required to provide rebates because they exceeded the ACA’s Medical Loss Ratio (MLR) standards. The MLR provision of the ACA required that insurers spend at least 80% of premiums for individual and small group plans and 85% for large groups on medical care and quality improvement. Insurers that do not meet the MLR standard must rebate that portion of premiums to employers and consumers. In 2013 Connecticut insurers issued $3 million in MLR rebates on behalf of 69,186 state residents. Connecticut insurers have improved premium setting to match medical and quality spending each year since then reducing rebates to $1.8 million in 2014 and $44,646 in 2015. Insurers in twelve states, including Connecticut, all met the MLR standard in 2016, up from only six states the year before.

CTNJ op-ed: CT health reform reaches new low, but also hints of optimism and lots of advice for the next Governor

Connecticut healthcare thoughtleaders gave our state a C for health reform this year, the lowest grade in our survey’s five years. None of the dozens of leaders across Connecticut’s health care system who responded to the survey gave the state an A. Read more