Deficiency of Medicaid Expansion moves to Hospital Revenue Loss

Ever since various states rejected to expand their Medicaid programs and gain the majority of funding for this enterprise from the federal government, there has been a division of revenue between states that have broadened Medicaid coverage and those who have been reluctant to do so. Hospitals in states with Medicaid expansion have seen a increase in sufferer numbers and revenue.

An Urban Institute study discovered that hospitals are losing up to $400 billion in federal Medicaid funds when states do not engage in Medicaid expansion. In addition to, these same hospitals are spending $44 billion on treating sufferer who lack health insurance.

This indicates how beneficial it is for the healthcare revenue cycle when states adopt the Medicaid expansion provisions of the Affordable Care Act. When the Supreme Court governed that Medicaid expansion was optional, several states necessarily created a gap in healthcare coverage by refusing to broaden the program.

Although, the Department of Health and Human Services (HHS) is motivating these regions to consider the significance of expanding Medicaid coverage. Hospital systems would be much less likely to pay for uninsured medical care when more sufferers have Medicaid coverage.

HHS Secretary Sylvia Burwell is emphasizing states to execute the expansion and is working to grant waivers to governors to offer more flexibility. Few major problems in the healthcare revenue cycle could finally bring states to institute Medicaid expansion, as some hospitals may end up foreclosing while others struggle with the costs of treating uninsured patients.